Development of the Domestic Space Industry by Commercializing a New Generation of Small Rockets
- Industrial Sectors
- Investing
Japan Aerospace Exploration Agency (JAXA)Photo courtesy of JAXA
In August 2017, DBJ, along with Canon Electronics Inc., IHI Aerospace Co., Ltd., and Shimizu Corporation, established New Generation Small Rocket Development Planning Co., Ltd., for the planning and examination of the small rocket launch business, with the aim of tapping into demand for launching small satellites into outer space, a potential growth field around the world.
In July 2018, New Generation Small Rocket Development Planning and the aforementioned four companies decided to proceed to the business development stage after examining the feasibility of the business. After an additional round of investment from the four companies, New Generation Small Rocket Development Planning was renamed Space One Co., Ltd., and turned into an operating company. As major players in their own fields, the four companies' collaboration on the project has given it more credibility. With a corporate vision of providing the most frequent launches in the world for highly convenient access to outer space, the new company plans to accelerate efforts toward the commercialization of launch services during fiscal 2021.
As the four establishing companies commit their respective expertise to the project, such as Canon Electronics' knowhow in reducing mass production costs for consumer electronics, IHI Aerospace's advanced technologies in rocket development, and Shimizu's resources in infrastructure development, DBJ's role will be to act as a neutral facilitator of their alliance while examining the feasibility of the business by leveraging its knowhow accumulated in advancing and supporting the development of the aircraft industry.
The establishment of infrastructure for frequently launching satellites on small rockets in Japan will create greater opportunities for domestic aerospace companies, which have had to rely on overseas rockets to get their satellites into space. As conditions come into place for creating businesses while technologies are verified, we anticipate the smooth development of technologies and businesses in the outer space field. Accordingly, this project is highly significant for the development of Japan's space industry. DBJ is fully committed to this project's aim of helping to strengthen the competitiveness of Japan's space industry through new business development via collaboration across different sectors.
Corporate Collaboration across Industries and New Business Creation
Canon Electronics is a leading mass-producer of electronics in the Canon Group. IHI AEROSPACE has engineered and developed rocket launches for national projects while collaborating with other manufacturers. Shimizu has always been on the front lines of infrastructure development in Japan. Although each company shares the same goal of creating a rocket business by marshaling the necessary technologies and resources, they are all pieces in a great puzzle with different corporate cultures and major gaps in the languages used to describe technological development. To steer the project toward commercialization, it was necessary to have someone put these pieces of the puzzle together. DBJ has functioned well as a mediator for aligning opinions and forming business plans because, as a bank, DBJ has developed contacts across various industries. Additionally, it has many years of experience working with the IHI Group, which is assuming the main role in rocket development for this project, through its aircraft engine business.
In particular, while each company struggled to set clear targets for this project as a new business, DBJ provided key support for defining and setting targets from the standpoint of creating a space industry through this project and aiming to establish profitable businesses for the participants. There is a risk that unforeseen troubles or problems will arise, but we will do our best to support the creation of new businesses and industries in Japan while making adjustments from a broad top–down view of the project
