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Iqos

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Not to be confused with iQOO.
IQOS
Iqos devices, from Accord to Iluma
Product typeHeated tobacco products
OwnerPhilip Morris International
Introduced2014; 11 years ago (2014)
Related brandsVeev
MarketsWorldwide
Websitehttps://www.iqos.com

IQOS (/ˈaɪkoʊs/ EYE-kohs) is a line of heated tobacco products designed to be used with tobacco and nicotine-containing consumables. They are manufactured by Philip Morris International (PMI).[1][2] The brand was first introduced in November 2014 in Japan and Italy.[3]

In 2020, the U.S. Food and Drug Administration authorized PMI to make "reduced exposure" marketing claims for Iqos in the United States, although this was accompanied with controversy, as Reuters published documents and testimonies from former employees alleging irregularities in the clinical trials.[4]

History

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Prototypes and early devices

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Alternatives to cigarettes have been researched for several decades. In 1990, Philip Morris presented its first prototype of a device for heating tobacco without burning it (Project Beta).[5] The company then put two devices on the market intended to heat a cigarette while limiting the combustion of tobacco: "Accord", a device sold in the United States from 1998 to 2006 (the device was also released in Japan under the name "Oasis"), then the "Heatbar", a device sold by the company's international subsidiary launched in 2006 in Australia and Switzerland, before being withdrawn from the market.[5][6]

The Cube, Philip Morris International's main Research and Development facility, in Neuchatel, Switzerland.

One year after its 2008 spin-off from the Altria Group, Philip Morris International opened a $200+ million R&D facility in Neuchâtel, Switzerland for research around "reduced risk" products and alternatives to cigarettes.[7] Between 2011 and 2014, PMI carried out various strategic operations in this direction (purchasing patents, acquiring companies, developing partnerships). In 2011, PMI acquired a smoke-free technology from inventors at Duke University including Professor Jed Rose, a leading expert in nicotine-addiction research who was instrumental in the development of the nicotine patch.[8][9] In 2013, PMI announced an agreement with Altria Group to sell Altria's e-vapor technology outside the U.S., with Altria gaining exclusive rights to sell future alternative heated tobacco products developed by Philip Morris International in the U.S.[10]

Launch of Iqos

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In January 2014, Philip Morris International announced an investment of €500 million to build a factory near Bologna, Italy, dedicated to the production of heated tobacco products.[11] In November 2014 the first version of Iqos was released, first marketed in Nagoya, Japan, and Milan, Italy, before being gradually rolled out to other countries.[12]

Starting in 2016, Philip Morris began heavily focusing commercial efforts on alternative nicotine-containing products to cigarettes.[13] In 2016, PMI launched Iqos Mesh in the UK.[14] The next generation of Iqos ("Iqos 3" and "Iqos 3 Multi") was launched in Tokyo in October 2018 and then in other markets around the world.[15]

In 2017, the smoke-free segment generated sales of $3.6 billion for PMI (13% of its overall sales), compared to $64 million in 2015. By the beginning of 2018, Iqos brand products accounted for 15% of the tobacco industry's market share in Japan.[5] By 2020, Iqos accounted for 5.5% of the global tobacco market while being available in 52 countries only, this number jumping to almost 70 a year later.[16][17] According to PMI financial releases, sales of smoke-free products represented nearly 30% of the company's revenue during the first quarter of 2021, and 40% by the end of 2023, with Iqos revenues surpassing those of cigarette brand Marlboro.[18][3]

In January 2020 PMI and South Korea's KT&G announced a partnership for the international distribution of Lil, a hybrid e-cigarette/heated tobacco product, as part of the Iqos portfolio.[19] The following Summer, PMI rebranded Mesh as Veev and launched it in New Zealand before gradually extending distribution to other countries.[20] Iluma, a new system using induction heating technology, was launched in Japan in August 2021.[21]

In July 2020, the US FDA granted Philip Morris International an authorization to make "reduced exposure" marketing claims, considering that the Iqos tobacco heating system met the requirements for designation as a Modified Risk Tobacco Product, the second set of products ever authorized after Swedish Match's General Snus.[22][23] The FDA explicitly stated that the product should not be considered as "safe or FDA approved."[24]

Construction

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The Heets/Heatstick system, an earlier iteration that heated tobacco through a blade.

Components

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Most Iqos models consists of a charger and a pen-like holder.[25] A disposable stick (called "HeatStick" or "Heets") containing processed tobacco and glycerin is inserted into the holder, which then heats it to temperatures up to 350 °C (660 °F) for inhalation.[26] Iluma, a more recent iteration, relies on induction to heat the tobacco sticks (called "Terea").[27][28]

Between 2009 and 2017 more than 1,900 patents linked to Iqos have been filed by Philip Morris International.[29] According to Fortune, the company helped make "electronic smoking devices" the second fastest growing category of new technologies in 2020.[30]

Marketing

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The Iqos 2.2 was the first commercially launched device under the brand name.[31] The name has often been described by early adopters to be an acronym of "I Quit Ordinary Smoking."[32] Philip Morris has not directly used this acronym to market their products, but has a history of deliberately playing into the idea that their products can assist with smoking cessation, while lobbying against provisions in the WHO Framework Convention on Tobacco Control.[33][34]

Direct marketing

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Philip Morris is regularly accused of circumventing laws prohibiting the promotion of tobacco by claiming that Iqos is not a tobacco product. Canada updated its tobacco laws to clearly include heated tobacco devices in the list of regulated tobacco products.[35] In France, it was reported that Philip Morris was promoting its devices at private parties, with salespersons sometimes offering alcoholic beverages to interested customers.[36][37]

Philip Morris has also reportedly carried out several marketing campaigns directly mentioning Iqos, presenting the product as a "smoke-free" and a "reduced-risk" alternative, encouraging consumers to quit smoking or switch to Iqos.[38][39]

Youth-oriented marketing

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In 2019, Reuters reported that Philip Morris was using social media influencers in several countries to make them "ambassadors" for the brand and promote Iqos to a young audience.[40] PMI responded that it would cease use of influencers.[40]

Also in 2020, a report on Philip Morris' Iqos implementation strategy in Australia pointed out that "Philip Morris has strongly lobbied the Australian government to legalize heated tobacco products, while simultaneously making plans to sell Iqos at young adult-friendly premises such as bars, clubs and pubs if its proposed legislative changes are made."[41]

Criticism and controversies

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In December 2017, Reuters published documents and testimonies from former employees alleging irregularities in the clinical trials conducted by PMI for the approval of the Iqos product by the U.S. FDA.[4] This investigative work reported that Philip Morris was lobbying to block or weaken the provisions made under the WHO Framework Convention on Tobacco Control (FCTC), going against the idea that the company would support a smoke-free future.[42]

Patent

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In September 2021, the U.S. International Trade Commission ruled that Philip Morris International and its commercial partner Altria must stop the sale and import of the Iqos device in the United States because of a patent case filed by R.J. Reynolds.[43] The U.S. International Trade Commission found that the cigarette alternative infringed on two of Reynolds' patents. Philip Morris International announced its plans to appeal the trade agency's decision.[44] The disagreement with British American Tobacco (BAT) got resolved in February 2024. PMI and BAT came to a non-monetary agreement that settled the ongoing patent infringement lawsuits between them regarding their heated tobacco and vapor products.

References

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  1. ^ "Philip Morris sees six million U.S. smokers switching to iQOS device if cleared". Reuters. 24 January 2018. Retrieved 3 December 2021.
  2. ^ "Philip Morris develops zero-tobacco heat stick that may avoid regulations". Reuters. 28 September 2023. Retrieved 26 August 2024.
  3. ^ a b "Outside U.S., Marlboro Revenue Eclipsed by Sales of a Cigarette Alternative". The Wall Street Journal. 8 February 2024.
  4. ^ a b "Scientists describe problems in Philip Morris e-cigarette experiments". Reuters. Retrieved 5 December 2021.
  5. ^ a b c Elias, Jesse; Dutra, Lauren M.; Helen, Gideon St; Ling, Pamela M. (1 November 2018). "Revolution or redux? Assessing IQOS through a precursor product". Tobacco Control. 27 (Suppl 1): s102 – s110. doi:10.1136/tobaccocontrol-2018-054327. ISSN 0964-4563. PMC 6238084. PMID 30305324.
  6. ^ "Heated Tobacco Products - TobaccoTactics". tobaccotactics.org. Retrieved 3 December 2021.
  7. ^ "La piste d'une «cigarette propre»". Le Temps (in French). 13 February 2014. ISSN 1423-3967. Retrieved 3 December 2021.
  8. ^ Korn, David Kesmodel And Melissa (27 May 2011). "Philip Morris Looks to Nicotine Aerosol". Wall Street Journal. ISSN 0099-9660. Retrieved 3 December 2021.
  9. ^ Vinluan, Frank (27 May 2011). "Philip Morris buys smokeless nicotine technology". MedCity News. Retrieved 3 December 2021.
  10. ^ Esterl, Mike (20 December 2013). "Altria, Philip Morris to License, Distribute E-Cigarettes, Other Smokeless Products". Wall Street Journal. ISSN 0099-9660. Retrieved 3 December 2021.
  11. ^ "Da Philip Morris 500 milioni di euro per filiera italiana tabacco". Gazzetta del Sud (in Italian). 28 March 2019. Retrieved 4 December 2021.
  12. ^ "Philip Morris to launch Marlboro HeatSticks system in Milan". Reuters. 19 November 2014. Retrieved 4 December 2021.
  13. ^ Lester, Toby (14 July 2020). "How Philip Morris Is Planning for a Smoke-Free Future". Harvard Business Review. ISSN 0017-8012. Retrieved 4 December 2021.
  14. ^ "Next Generation Products: Philip Morris International - TobaccoTactics". tobaccotactics.org. Retrieved 4 December 2021.
  15. ^ "Philip Morris International unveils next generation of IQOS products". The Moodie Davitt Report. 22 October 2018. Retrieved 4 December 2021.
  16. ^ Duprey, Rich (10 February 2020). "Philip Morris' IQOS Still Hot Despite a Cigarette Sales Drop". The Motley Fool. Retrieved 4 December 2021.
  17. ^ "PMI's IQOS Iluma Prime smoke-free device goes live with Japan Duty Free | Travel Retail Business". TR Business. 6 September 2021. Retrieved 4 December 2021.
  18. ^ "Smoke-free now 28% of PMI revenue, boosted by European take-up of Iqos". TobaccoIntelligence. 20 April 2021. Retrieved 4 December 2021.
  19. ^ "KT&G expands global foothold with 4,700 e-cigarette IP rights". The Korea Economic Daily Global Edition. Retrieved 4 December 2021.
  20. ^ Caruana, Diane (23 March 2021). "PMI to Launch IQOS VEEV in Several Markets Throughout The Year". Vaping Post. Retrieved 4 December 2021.
  21. ^ "Philip Morris International Launches New IQOS Iluma in Japan". Tobacco Business Magazine. 17 August 2021. Retrieved 4 December 2021.
  22. ^ Office of the Commissioner (7 July 2020). "FDA Authorizes Marketing of IQOS Tobacco Heating System with 'Reduced Exposure' Information". Food and Drug Administration. Retrieved 4 December 2021.
  23. ^ CNN, Jen Christensen (22 October 2019). "Smokeless tobacco company can advertise snus as less risky than cigarettes, FDA says". CNN. Retrieved 4 December 2021. {{cite web}}: |last= has generic name (help)
  24. ^ Office of the Commissioner (7 July 2020). "FDA Authorizes Marketing of IQOS Tobacco Heating System with 'Reduced Exposure' Information". Food and Drug Administration. Retrieved 4 December 2021.
  25. ^ "Philip Morris unveils smoke-free cigarette in Korea". The Korea Times. 17 May 2017. Retrieved 4 December 2021.
  26. ^ Auer, Reto; Concha-Lozano, Nicolas; Jacot-Sadowski, Isabelle; Cornuz, Jacques; Berthet, Aurélie (22 May 2017). "Heat-Not-Burn Tobacco Cigarettes". JAMA Internal Medicine. 177 (7): 1050–1052. doi:10.1001/jamainternmed.2017.1419. ISSN 2168-6106. PMC 5543320. PMID 28531246.
  27. ^ "ITC Recommendation Against PMI Should Have Limited Impact". LaVerne Investing. 18 May 2021. Archived from the original on 1 October 2022. Retrieved 4 December 2021.
  28. ^ "Virtual Expo Exhibitor of the Day: Phillip Morris International "revolutionises" heated tobacco sector with IQOS ILUMA". The Moodie Davitt Report. 7 November 2021. Retrieved 4 December 2021.
  29. ^ Olivier, Wurlod (15 July 2017). "Une enquête de Reuters fait tousser Philip Morris". Tribune de Genève (in French). ISSN 1010-2248. Retrieved 4 December 2021.
  30. ^ CNN, Jen Christensen (22 October 2019). "Smokeless tobacco company can advertise snus as less risky than cigarettes, FDA says". CNN. Retrieved 4 December 2021. {{cite web}}: |last= has generic name (help)
  31. ^ "The evolution of novel tobacco and nicotine products over the last decade". Tobacco Intelligence. 5 April 2024.
  32. ^ "PMI's IQOS: Use, "Switching" and "Quitting"". Tobacco Tactics. Retrieved 6 December 2025.
  33. ^ McDaniel, Patricia A.; Lown, E. Anne; Malone, Ruth E. (28 August 2017). ""It doesn't seem to make sense for a company that sells cigarettes to help smokers stop using them": A case study of Philip Morris's involvement in smoking cessation". PLOS ONE. 12 (8) e0183961. Bibcode:2017PLoSO..1283961M. doi:10.1371/journal.pone.0183961. ISSN 1932-6203. PMC 5573297. PMID 28846738.
  34. ^ "PMI's IQOS: Use, "Switching" and "Quitting"". Tobacco Tactics. Retrieved 6 December 2025.
  35. ^ "Heated Tobacco Products - Global regulation" (PDF). tobaccofreekids.org.
  36. ^ "Le cigarettier Philip Morris jugé pour publicité déguisée à cause de son produit Iqos". Le Parisien (in French). 23 September 2021. Retrieved 4 December 2021.
  37. ^ "Tabac: les soirées de promotion illégales de Philip Morris à Paris". Le Parisien (in French). 13 March 2018. Retrieved 4 December 2021.
  38. ^ "Inside the Philip Morris campaign to "normalize" a tobacco device". Reuters. 21 February 2020. Retrieved 4 December 2021.
  39. ^ "Controversy Regarding U.S. Marketing of New Heated Tobacco Product IQOS". International Association for the Study of Lung Cancer. 20 January 2021. Retrieved 4 December 2021.
  40. ^ a b "Exclusive: Philip Morris suspends social media campaign after Reuters exposes young 'influencers'". Reuters. 11 May 2019. Retrieved 4 December 2021.
  41. ^ Watts, Christina; Burton, Suzan; Freeman, Becky (8 November 2020). "Creating a market for IQOS: analysis of Philip Morris' strategy to introduce heated tobacco products to the Australian consumer market". Tobacco Control. 31 (3): 458–463. doi:10.1136/tobaccocontrol-2020-056057. ISSN 0964-4563. PMID 33191270. S2CID 226960901.
  42. ^ Olivier, Wurlod (15 July 2017). "Une enquête de Reuters fait tousser Philip Morris". Tribune de Genève (in French). ISSN 1010-2248. Retrieved 4 December 2021.
  43. ^ Lucas, Amelia (30 September 2021). "Philip Morris, Altria banned from importing or selling Iqos tobacco device in the U.S." CNBC. Retrieved 5 December 2021.
  44. ^ Maloney, Jennifer (30 September 2021). "U.S. Trade Body Rules Against Import of IQOS Heat-Not-Burn Tobacco Devices". Wall Street Journal. ISSN 0099-9660. Retrieved 5 December 2021.
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