Logic Technology Secures E-Cigarette Patent

Logic Technology is raising the stakes in the electronic cigarette category by obtaining a patent that tracks product usage.

The patent covers a unique digital counter the lets the user know precisely how many puffs are remaining in the e-cigarette, Logic CEO Eli Alelov told Convenience Store Decisions.

“This is new technology that will change the way customers look at electronic cigarettes,” Alelov said. “We’re very proud to be launching this technology to continue helping convenience store retailers grow e-cigarette sales.”

Logic Technology, based in Livingston, N.J., could begin marketing the product within the next 10-12 months, Alelov said. He anticipates the digital counters to be available nationwide by the beginning of next summer.

Logic markets its e-cigarettes in traditional and menthol, which are both available with varying levels of nicotine. The counter will be made available in all varieties.

The announcement of this patent comes at a crucial time for Logic, which is one of several e-cigarette companies vying for shelf space in a competitive market. Alelov expects the patent to give him a “competitive advantage” over some of the other players in the market.

According to a UBS Investment Research report, the e-cigarette category has been growing by triple digits, reaching an estimated $250 million during 2011. That number is expected to double by the end of 2012 and the Tobacco Vapor Electronic Cigarette Association (TVECA) expects the category to quadruple by mid 2014.

Of the more than 100 individual brands currently available in the marketplace, most are owned by small companies that import their products from China and operate direct-to-the-consumer e-commerce sites.

However, a growing number of manufacturers are beginning to focus on the brick and mortar marketplace, particularly convenience stores, which are regarded by many retailers and wholesalers as the number one sales channel for e-cigarettes, according to a report from Wells Fargo Securities.


Article by John Lofstock – CSDecisions


#1 Candy Girl on 06.13.12 at 10:00 PM

The digital counter seems like a good idea, as long as it doesn’t prolong marketing claims based on traditional cigarette equivalency- i.e. “equal to two packs” etc. Sooner or later efforts to tax these products will start with the claims that manufacturers are making about equivalency and attempt to construct a tax schedule based on the same number of cigarettes. Making these comparisons in marketing materials or on packaging is asking for trouble.

#2 Manny Trillo on 06.15.12 at 9:14 PM

Maybe Logic should focus on their product quality first. Fix what is inside the stick, then add the gimmicks. I agree they are asking for trouble with taxation and equivalency to cigarettes. They can doom an industry in one stupid move.

#3 sdf@sdf.com on 06.16.12 at 7:48 AM

What is going to doom a lot of the industry is the inherent stupidity of trying to be a tobacco product (when they do not want drug rules to apply ) and trying to be a drug product (when they do not want tobacco rules to apply). Washington moves slow, but unless the industry can hep define itself rationally, it’s going to hit a brick wall. Wait and see — may be sooner than you think.

#4 Health ECigarette Starter Kit Quit Smoking Electronic Cigarette « EcigLiveNews on 06.21.12 at 4:22 AM

[…] Logic Technology Secures E-Cigarette Patent — TobaccoTodayThe patent covers a unique digital counter the lets the user know precisely how many puffs are remaining in the e-cigarette, Logic CEO Eli Alelov told …www.tobaccotoday.info/…/logic-technology-secures-e-cigarett… […]

#5 Miami Heat on 06.25.12 at 10:49 PM

Heard today that Dragonite is coming to the US to defend patents. Anyone have any info on this?

#6 Candy Girl on 06.26.12 at 8:14 AM

Late Friday, June 22, 2012, Dragonite International Ltd. put out a press release announcing that they had placed 326 million shares at a price of HK $0.066 per share, netting proceeds of HK $21.5 million or just under US $3.0 million. This is the use of the proceeds as described in the announcement:

“The Company is mainly engaged in (i) production and sales of health care products, pharmaceutical products and RUYAN atomizing cigarettes, (ii) securities trading and investment, and (iii) property investment. Electronic cigarettes are a core business of the Company. The Company is the leader in electronic cigarette technology with an extensive patent portfolio. In order to facilitate the enforcement and commercialization of the Company’s intellectual property rights in the United States, the Company plans to establish a wholly-owned subsidiary in Southern California. Such new subsidiary will also facilitate sales, marketing, regulatory compliance, and public relations in regard to the Company’s electronic cigarette business in the United States. The entirety of the net proceeds raised from the Placing will be dedicated to capitalizing the aforesaid new subsidiary in Southern California.”

#7 Miami Heat on 06.26.12 at 6:16 PM

thanks candy girl

#8 Miami Heat on 06.26.12 at 10:28 PM

Saw on a investor page these guys are being sued by Dragonite. Seems like they violate the intellectual property owned by Dragonite.

#9 Miami Heat on 07.03.12 at 1:22 AM

so y didn’t they list patent?

#10 Antonio on 12.02.15 at 4:01 PM

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