Nairobi, Kenya — May 9, 2026, 8:00 PM: The Safaricom PLC has been ordered to pay a businessman Ksh.1.4 billion after the High Court ruled that the telecommunications giant infringed on the MTIN Mobile Wallet USSD application.
In a landmark judgment that could reshape intellectual property disputes in Kenya’s technology sector, the court held that the award was intended to compensate for negligence and Safaricom’s continued use of the disputed product.
The ruling is expected to generate significant debate within Kenya’s innovation and fintech sectors, areas frequently covered by Sauce.co.ke Business and Technology News.
Court Orders Ongoing Royalty Payments
In addition to the Ksh.1.4 billion award, the court directed Safaricom to pay the businessman royalties equivalent to 0.5 per cent of M-Pesa revenue for every financial year beginning March 31, 2025.
The payments will continue for as long as the service, or any substantially similar platform, remains operational.
However, the court declined to issue a permanent injunction against Safaricom, stating that ongoing royalty compensation would be a more appropriate remedy.
Judge Warns Corporations on Innovation Rights
In the ruling, the judge emphasized that innovation does not exclusively originate from large corporate institutions.
The court warned that companies receiving proposals from independent innovators must ensure any internally developed products are genuinely separate and independently created if they later reject submitted concepts.
The judgment is likely to reignite conversations around intellectual property protections in Kenya’s growing digital economy, especially within the mobile money and fintech sectors.
Legal experts from institutions such as the Kenya Copyright Board (KECOBO) and the Kenya Industrial Property Institute (KIPI) have repeatedly called for stronger enforcement of innovation rights to protect local inventors and software developers.
Safaricom Criticised Over Missing Documents
The court also faulted Safaricom for failing to produce critical documents during the proceedings.
According to the judge, the company’s conduct fell below the standards expected from a market leader in Kenya’s telecommunications and financial technology sectors.
The judgment further declared that Safaricom violated the petitioner’s rights under the Kenya Copyright Act and affirmed that the businessman is the rightful owner of the MTIN Mobile Wallet USSD code.
Implications for Kenya’s Fintech Industry
The decision could have far-reaching implications for Kenya’s mobile money ecosystem, particularly given the dominance of M-Pesa in digital financial transactions.
Industry analysts say the case may influence how corporations engage with independent software developers, startups, and innovators in future technology partnerships.
Kenya is widely recognised as a global leader in mobile banking innovation, with organisations such as the Central Bank of Kenya (CBK), Communications Authority of Kenya (CA), and the World Bank frequently highlighting the transformative role of mobile financial services in economic growth.
The ruling may also attract attention from global intellectual property bodies such as the World Intellectual Property Organization (WIPO), which advocates for stronger protections for innovators and creators worldwide.
