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Access Hub - One Stop Consultancy for Space, Defence, and Security
Home Space Earth Observation

AALTO secures $100M contract from Japanese consortium for Zephyr HAPS

by Staff Correspondent
June 11, 2024
access hub, newspace, Airbus, Japanese company, space industry, satellite communication, satellite operator, connectivity, manufacturing, mobile operator, earth observation services
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The Development Bank of Japan, Mizuho Bank Limited, NTT DOCOMO, and Space Compass Corporation, collectively known as “the Japanese Consortium,” have committed to investing USD$100 million in AALTO HAPS, the company that produces and manages the stratospheric, solar-powered Zephyr High Altitude Platform Station The investment will be made via HAPS JAPAN Corporation, the investment vehicle of the Japanese Consortium.

This investment is the first step in a strategic partnership to use HAPS to commercialize connectivity and earth observation services in Japan and throughout Asia. Additionally, it will support AALTO’s services’ industrial and commercial roadmap, which aims to launch in Japan and enter service globally in 2026.

Zephyr, which can hover in the stratosphere for months at a time, has revolutionary potential that will revolutionize mobile connectivity and earth observation. Zephyr is a payload-neutral platform that can change into a multipurpose skyscraper to deliver 5G direct-to-device mobile connection services with little latency. Zephyr can be utilized for a variety of tracking, sensing, and detection tasks by utilizing Airbus’s Strat-Observer earth observation service. As a result, AALTO is ideally suited for a range of use cases, including increasing the reach of mobile network operators (MNOs) and offering high-capacity connectivity—especially during Japan’s disaster relief efforts.

“NTT DOCOMO continues to improve network quality and has been focused on establishing new technology frontiers that enhance access to connectivity services,” stated Takaaki Sato, Chief Technology Officer of NTT DOCOMO. We are enthusiastic about the possibilities of HAPS-based NTN solutions and are collaborating with Space Compass, AALTO, and Airbus on this project. This solution combines innovative engineering and sound economics to help our joint response to natural disasters and extend coverage to remote and rural areas. “We look forward to strategically collaborating with AALTO to leverage Zephyr to transform customer experiences, in tandem with our Consortium partners.”

“Non-terrestrial networks have the potential to transform Japan’s communications ecosystem, addressing access to connectivity in hard-to-reach areas while supporting our country’s response to emergencies,” said Shigehiro Hori, co-chief executive officer of Space Compass Corporation. Japan has a large number of isolated islands and hilly regions with expensive communication options. In these regions and during a period of population loss, our strategic partnership with AALTO, supported by technological innovation and the potential presented by the connection market, will assist us in constructing new telecommunications infrastructure.

Co-Chief Executive Officer of Space Compass Corporation Koichiro Matsufuji continued, saying, “Zephyr is a unique capability that we will leverage over the coming years as the leading HAPS technology of its kind.” Our goal is to develop a successful use case in Japan and then expand it to Asia”.

“Under Airbus’s ten-year stewardship, Zephyr has become a leading HAPS platform, crucial to the space and defence ecosystem,” said Jean-Brice Dumont, Head of Air Power at Airbus Defence and Space and Chair of the AALTO Board. Leading the way globally, AALTO established a specialized HAPS Services Business in 2022. The ambitious growth goals of AALTO will be propelled by a new investor and our strengthened partnerships in the Asia-Pacific area.”

“This historic investment accelerates AALTO’s path to service entry in 2026, supporting the industrialization and commercialization of our technology,” said Samer Halawi, CEO of AALTO. Leading companies in aviation and connectivity are shareholders of AALTO, which puts it in a strong position to take advantage of significant market prospects in connection and earth observation. As we develop, we’ll start customer missions and create Zephyr launch and landing sites, and progress our certification, driving sustainable stratospheric connectivity and earth observation.”

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