Toyota's Bold Move: Investing in Rocket Startup to Compete with SpaceX

Toyota Ventures into Space

Toyota Motor Corp. is making waves in the commercial space industry by investing ¥7 billion ($44 million) in Interstellar Technologies Inc., a Japanese startup focused on mass-producing lightweight rockets. Through its subsidiary Woven by Toyota, the automotive giant will also secure a seat on the startup's executive board.

Japan's Space Ambitions

Despite Japan's limited space launches, with only three successful missions in 2023, the government is keen on fostering its private space sector. Interstellar Technologies aims to increase its annual launches to 30 by the early 2030s, leveraging automotive expertise to enhance rocket manufacturing processes.

Toyota's Broader Vision

During a recent speech at CES in Las Vegas, Toyota Chairman Akio Toyoda emphasized the company's commitment to innovation in transportation, hinting at its ambitions to compete with SpaceX. He stated, “The future of mobility shouldn’t be limited to just cars.”

Collaborations for Lunar Exploration

Toyota has previously collaborated with the Japan Aerospace Exploration Agency (JAXA) on a lunar rover for NASA’s Artemis program, allowing astronauts to explore the moon without spacesuits.

Challenges Ahead

While Japan has made strides in satellite technology, its geography poses challenges for establishing a comprehensive launch facility network. Recent failures, such as those experienced by Space One Co., highlight the difficulties in reaching orbit.

Future of Mobility

Hajime Kumabe, CEO of Woven, stated, “Our craftsmanship expertise will be an asset to Interstellar’s rocket manufacturing.” This investment is seen as a strategic move for Toyota to expand its influence beyond traditional vehicles and into the realms of air and space travel.

Partnerships in Tech

At CES, it was also revealed that Toyota is now a customer of Nvidia, utilizing its autonomous driving AI products to enhance its technological capabilities.