Rakuten to Receive ¥148 Billion Grant for Satellite Communications Network
SPCX•Japan will grant up to 148 billion yen to Rakuten Group for its satellite communications network project, representing roughly $912 million in support. Rakuten is in talks to form a joint venture with AST SpaceMobile to deploy low-earth-orbit satellites for smartphone connectivity and disaster-resilient telecommunications.
1. Government Grant Details
The Japanese government will provide up to 148 billion yen (about $912 million) to Rakuten Group to support the development of a national low-earth-orbit satellite communications network, marking one of the largest domestic subsidies for space-based telecom infrastructure.
2. Joint Venture Negotiations
Rakuten is negotiating a joint venture with U.S.-based AST SpaceMobile to secure technology and spectrum rights needed to deploy and operate the planned satellite constellation, aiming to combine Rakuten’s telecom expertise with AST’s satellite know-how.
3. Strategic Objectives
By funding a home-grown operator, Japan seeks to reduce reliance on foreign services like Starlink, enhance economic security, and foster a competitive domestic space industry capable of serving both commercial and emergency connectivity needs.
4. Service Benefits
The planned low-orbit satellite network will enable smartphones and other devices to maintain connectivity in areas beyond terrestrial cell towers or following natural disasters, offering a resilient backup to traditional ground-based telecommunications.
