Heated tobacco: British American Tobacco attacks its competitor Philip Morris

Numerous legal proceedings have been initiated against cigarette manufacturers, notably against the manufacturer British American Tobacco.[1]The latter, in turn, filed a lawsuit in the United States and Germany against its competitor Philip Morris International (PMI), for patent infringement.[2]BAT claims that the technology used to heat the tobacco sticks - heets - in PMI's heated tobacco product, IQOS, is an earlier version of the technology BAT uses for its own heated tobacco products and its brand, Glo. This is not the first lawsuit between the two companies: PMI has sued BAT in Japan over a similar allegation, this time with BAT accused of infringing patent law for its Glo brand to the detriment of tobacco maker PMI.[3]. The tobacco industry often presents a united front when it comes to defending the sector's categorical interests. It sometimes even practices collusion policies due to the oligopolistic nature of this industry. However, current procedures between manufacturers on this issue of new products highlight how much these are part of a market reconquest strategy. It is therefore crucial for each manufacturer to position itself as a leader from the outset. With this legal action, BAT is ultimately seeking to block the importation of PMI's IQOS into the United States. With IQOS out of the American market, BAT could benefit from a larger market of heated tobacco consumers. As with electronic cigarettes, cigarette manufacturers are engaged in increased commercial competition with these new products and do not hesitate to deploy particularly aggressive marketing strategies, in violation of the countries' prevention legislation. ©Generation Without Tobacco

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[1] https://www.generationsanstabac.org/actualites/les-autorites-de-regulation-americaines-et-anglaises-enquetent-sur-british-american-tobacco/ [2] https://www.reuters.com/article/us-britishamericantobacco-lawsuit-philip/bat-files-patent-suits-against-philip-morris-iqos-products-idUSKCN21R2MJ [3] https://www.fool.com/investing/2020/04/21/british-american-tobacco-sues-altria-and-philip-mo.aspx ©National Committee Against Smoking |