It's a battery-powered electronic nicotine delivery system. Cigelectric. An e-cigarette. Stan got a salesman's sample handed to him the other day and Kathleen couldn't resist "firing" it up when she found it in his pockets pile. There's no flame or heat, you just drag on it, a light comes on in the tip and it produces cold vapor. You just puff it.
Kathleen has never smoked. We doubt this modern innovation will be enough to get her started -- even though the look is very glamorous.
(Just kidding, Becky.)