Rakuten Group and AST SpaceMobile have agreed to establish Rakuten AST, a joint venture to develop and operate a sovereign direct-to-device (D2D) satellite communications network in Japan, supported by up to ¥148 billion (approximately US$1 billion) in government funding. The project aims to provide satellite broadband connectivity to conventional smartphones while strengthening Japan's communications resilience during natural disasters and other emergencies.
The JV will be 51% owned by Rakuten and 49% by AST SpaceMobile, with responsibility for satellite procurement, network operations and service management. Japan's Ministry of Internal Affairs and Communications (MIC) has selected the Rakuten-led proposal for its J-LEO satellite communications programme, with funding expected to be distributed over approximately three years. The companies are targeting the start of domestic satellite operations by 31 March 2029.
AST SpaceMobile will supply large-aperture LEO satellites designed to support mid-band spectrum connectivity directly to unmodified smartphones. The network is intended to deliver broadband services, including internet access, video streaming and mobile applications, in areas beyond terrestrial cellular coverage. Ground-based base station infrastructure will allow Japanese operators to manage network operations domestically, supporting national control over critical communications services.
A central objective is to establish disaster-resilient mobile connectivity, including emergency roaming arrangements that could allow customers of different Japanese mobile operators to access satellite services when terrestrial infrastructure is disrupted. The constellation will prioritise domestic requirements, although Rakuten AST also intends to make satellite capacity available internationally through AST SpaceMobile, subject to regulatory approval.
The partners will also explore AI-based spectrum management and edge computing technologies to improve network efficiency and support applications in logistics, agriculture, construction and infrastructure monitoring. Separately, Rakuten Mobile plans to begin testing satellite-to-mobile services in a commercial network environment before the end of 2026, building on its existing partnership with AST SpaceMobile established in 2020.