Companies risking legal action over popular music downloads

Telecommunication providers using foreign and local music as ring tones could be exposing themselves to legal action over copyright infringement.

Although the content providers have been selling ring-tones for a number of years in the country, music has become a big tool for the telecommunication operators as they try to woo the youth into their networks.

All four players in the mobile phone segment have launched ring back tones as they also help sell handsets. The telecommunication providers also benefit from Short Message Service (SMS) or voice costs to access and manage the Ring Back To.

The telecommunication providers charge subscribers a fee for every song that is down-loaded whose proceeds are supposed to be shared between content providers, the telecommunication providers and the musicians.

An officer from the Kenya Copyright Board, who declined to be named, said some of the content providers are using music from local and international artists illegally.

And this, he said, could lead to legal action for the content providers and the telecommunication operators who provide the platform and also benefit from the work through commissions.

“All those telecommunication operators who have launched ring-back tones should tread carefully because most of the content providers are abusing the copyright laws” he said.

The most abused product, he said, was music by international artists since there is no direct government body that the content providers sign up with.

The Telecommunication sector is the latest revenue generating avenue for local musicians edging out traditional platforms such as CD copy sales.

Radio and television royalties, collection from entertainment joints, saloons and even commuter vehicles now rank among new revenue streams.

This avenue comes with a potent risk where the telecommunication firms fail to authenticate whether content providers have entered into binding contracts with musicians, exposing players in the chain to copyright infringement. Legal action, however, can only commence after the Kenya copyright board has received a complaint.

Already there is a court dispute between Music Copyright Society of Kenya (MCSK) and Cellulant Kenya employees, a company that provides value-added services to mobile phone users.

According to documents filed at Nairobi’s Milimani Commercial Court, Cellulant claims they entered into an agreement with musicians and procured exclusive licences to offer mobile phone ringtones, logos, and pictures.

MCSK counters that Cellulant is not empowered under provisions of the Copyright Act to enter into such agreements with any artiste or musician.

In an ideal arrangement, the telecom operator will sign a contract with a content provider licensed by telecommunication regulator Communication Commission of Kenya (CCK) and copyright body, the Music Copyright Society of Kenya (MCSK).