The cannabis market is conservatively estimated between $35-45 billion, with high estimates of over $120 billion. The tobacco and alcohol industries, on the other hand, have market sizes of $75 billion and $188 billion, respectively. While the sale of tobacco and alcohol generate over $17 billion in federal tax revenue, legalization of marijuana would make it taxable and would bring approximately $16-20 billion in taxes for the federal treasury.
Presently, sixteen states and DC in the United States make up the market with the vast majority coming out of California and Colorado. Present-day cannabis market is extremely fragmented with a lack of any local or national company.