The tobacco industry could quickly take control of legal cannabis
The big corporations can afford to enter the market
Justin Wong (JW)October 5, 2026
Legalizing cannabis is likely a "when" rather than "if" issue at this point, and both industry and consumers are more than ready for it.
Among the many parties that would benefit from widespread legalization of the sale and use of recreational cannabis, there would not be many who would benefit more than the major players in the tobacco industry. There are numerous reasons why this is the case. Here are just a few of them.
The decreasing acceptance of smoking It's no secret that smoking isn't as popular as it used to be. Some younger people might not believe it if they were told that smoking used to be acceptable in places like elevators and airplanes. Research by the U.S. Centers for Disease Control and Prevention recently found that the percentage of smokers in the U.S. fell from 20.9% to 14% between 2005 and 2019. There are also numerous reasons for the nationwide decline in the number of smokers. From health issues like emphysema and heart disease to the fact that smoking has been banned in most public places like bars and restaurants, it's no surprise that smoking is no longer as popular with Americans as it used to be.
The big tobacco companies can afford to enter the market The cannabis market offers tobacco companies not only a unique opportunity to expand their market, but also without having to make any major adjustments. This caveat puts many tobacco industry players in the pole position to start producing in the marijuana industry as soon as they are approved from a legislative standpoint.
Requirements for getting started in marijuana growing and production include a warm climate and the tools necessary for a proper harvest. The same is true of the mass production of tobacco, which is why so many large tobacco companies are looking to cannabis as their next field of activity.
You are familiar with the work associated with production. In addition to having the resources to produce and distribute them, the big tobacco companies are familiar with the processes that many cannabis retailers face when entering the market. Marijuana businesses entering the recreational space typically have to adhere to strict regulations on aspects of their business such as marketing, store setting up, and health risks that need to be communicated to customers.
These are many of the same challenges that tobacco companies faced early on. Given that they are familiar with so many of the challenges associated with getting their products into the hands of customers, the tobacco industry is much better able to enter and dominate the recreational cannabis space than it is those who switch to the industry from other areas.
A seat at the table There is no doubt that Big Tobacco will have a seat at the table when it comes to the recreational cannabis market. However, the question remains, how large will Big Tobacco's market share be compared to entrepreneurs representing communities where the war on drugs has wreaked irreparable harm.
Originally, many thought of recreational cannabis sales as a way for members of these communities to redeem the damage caused by the mass incarceration of marijuana offenses, but the looming threat of big tobacco within the industry will determine that whether or not these plans come true.
