SPACETIDE has been publishing “SPACETIDE COMPASS” biannually since late 2018 to broadly cover trends across the entire space business sector and deliver the latest information.
Entering 2025, Japan’s space industry is transitioning into full-scale execution. This includes the successful consecutive launches of the H3 rocket, the initiation of new projects utilizing the Space Strategy Fund, and the advancement of startup support schemes. This report aims to convey the forefront of space business in Japan and Asia to our readers, reflecting these changes, and to contribute to the expansion of space business and the development of the space industry.
For this Vol. 13, in addition to updating our regular indices—such as investment amounts and company counts in space business, which are frequently referenced—we have restructured the content table of contents to provide a more comprehensive overview of industry trends. Key new topics and report contents are as follows:
Analysis of Japanese Listed Space Startup Revenues: Total Market Capitalization Approaches ¥400 Billion
Following the August 2025 listing of AXELSPACE HOLDINGS INC. as Japan’s sixth space-related company, we conducted a financial analysis of the six domestic space-related startups listed on the Tokyo Stock Exchange Growth Market.
- The combined annual revenue disclosed by these six listed companies for their space businesses reached approximately ¥14 billion.
- Their combined domestic market capitalization reached approximately ¥400 billion as of the end of September 2025.
- While more companies achieved positive gross profit margins, this was largely driven by demand for projects targeting government agencies.
Review of Legal Framework Amendments for New Space Activities like Suborbital and Reentry
Against the backdrop of diversifying space business and intensifying international competition, revisions to the Space Activities Act enacted in 2016 have been under consideration since 2025. This report provides a detailed analysis of the current law’s role and the direction of proposed amendments.
- While the US successfully launched 153 missions and China 66 in 2024, Japan managed only 5, making the enhancement of international competitiveness an urgent priority.
- The revision direction is organized into three points: “Addressing the Diversification of Space Activities,” “Strengthening the International Competitiveness of the Space Industry,” and “Ensuring the Safety and Reliability of Space Activities.” The report explains the challenges of the current system and the proposed amendments for each.
- It also introduces the business developments of Japanese space startups, such as SPACE WALKER and Elevation Space, which stand to benefit from the revision.
Space Business Trends in Japan and the APAC Region
- In Japan’s space business sector, progress is being made in demonstrations and collaborations with overseas companies, such as QPS Research Institute’s successful SAR satellite launch, Space Compass and Microsoft’s in-orbit AI technology demonstration, and Elevation Space’s collaboration with Luxembourg’s Exobiosphere.
- Japanese startups have raised over ¥200 billion in funding through 2025. While the total amount raised in 2024 decreased year-on-year, the number of companies securing funding is trending upward.
- For the APAC region, we also include a list of startup players and detailed reports on major companies. For example, we cover developments such as China’s LandSpace successfully launching a liquid methane/liquid oxygen rocket, South Korea’s Perigee Aerospace developing “Blue Whale 1,” and Singapore’s Kacific expanding its satellite internet business.
You can download the SPACETIDE COMPASS Vol:13 from here
