US trade agency rules company's smoking device infringes two patents owned by BAT’s Reynolds American unit
A Philip Morris iQOS smoking device. Picture: REUTERS
Philip Morris is a pioneer in developing alternatives to cigarettes with its IQOS offering, leaving competitors scrambling to catch up. It’s the only heat-not-burn product to be authorised for sale in the US, where it’s marketed by Altria. The device also got approval last year from the US Food and Drug Administration to be marketed as reducing consumers’ exposure to harmful chemicals in cigarettes, giving Philip Morris even more of an edge against rivals.
Reynolds said it is “investing significantly behind its unique multicategory portfolio of patented and protected products” and consumers can turn to its Vuse vapour products as an alternative.Globally, the race is heating up. BAT added a record number of new users to its smoking alternatives in the six months through June, giving the business a much-needed boost as the maker of Lucky Strikes tries to catch up with Philip Morris. It counted 16.
The cigarette alternatives have struggled to get US regulatory clearance. Philip Morris, in a filing with the ITC, said that the FDA hasn’t authorised any e-cigarettes to date and the “difficult, lengthy, and unpredictable regulatory future that all e-cigarettes face” make it more important that the FDA-approved IQOS be allowed to remain in the US market.
IQOS is available only in Georgia, North Carolina, South Carolina and Virginia. Altria and Philip Morris have declined to disclose the financial terms of Altria’s marketing agreement.