Content creators among them Musicians and comedians will be smiling all the way to the bank following the new revenue share increase.
In the new deal that will see content creators earn more, they will now get 40 percent of sales generated by Safaricom’s Skiza tunes in the latest review by the mobile telecommunication operator.
This is a 33% increase from the current 30 percent artists earn.
The news is a double boost for musicians coming in the same month the State exempted ringtones from excise tax in a bid to increase the amounts that local artistes earn from the use of their songs in mobile phones.
“Our decision to increase artist and content-creators’ revenue share by 33 percent will act as a further boost to the creative industry to support talent growth and sustainability,” said Peter Ndegwa, Safaricom chief executive.
Callers on Safaricom network pay up to Sh1.50 daily for every local Skiza tune they upload as ringtone.
Safaricom in 2009 launched Skiza service, giving artists 7.5 percent of revenue generated from their tunes, which have so far been subscribed to by more than 9 million customers.
For long, artists have complained of getting too little when it comes to revenue share yet they are the creators of the content.
The increment comes as the artists still call for a more increase on their side. Many are calling for a 60% share for the content they create