Philip Morris International (NYSE:PM) and Altria (MO) have had a whirlwind of a week. As you may have heard, Philip Morris recently presented to the FDA in regards to its iQOS products, which would be marketed by Altria here in the United States. Specifically, the company is seeking the approval to advertise its iQOS as a safer alternative to smoking. The tobacco giant wants to keep people using the new products, recognizing public health interventions to limit traditional smoking.
At issue here is a key question: Is heating tobacco rather than burning it truly healthier? The FDA’s decision on this question, and whether it will allow Philip Morris to make these claims in advertising is pivotal for the future. In this column we discuss the progress with the FDA. Moreover, we discuss why we believe the tobacco market truly is shifting, and this is why it is paramount that Philip Morris is not just able to effectively advertise iQOS, but to be able to sell the product at all.
