Insider Brief
- ArkEdge Space has raised JPY 8 billion — about $51.7 Million — in Series B funding to enhance the development of commercial satellite constellations for space communication, remote sensing, and lunar navigation.
- The company’s technologies focus on 6U satellite systems for diverse applications, including IoT data collection and maritime communication, with projects funded by NEDO and JAXA.
- Investors, including Incubate Fund and JIC Venture Growth Investments, are backing ArkEdge Space for its potential to drive innovation in micro-satellites and expand Japan’s presence in the global space industry.
PRESS RELEASE — ArkEdge Space Inc. (“ArkEdge Space”), a Japanese space startup based in Tokyo that provides comprehensive solutions from planning and design to mass production and operation of micro-satellite constellations, has successfully raised JPY 8 billion in its Series B financing round led by Incubate Fund KK. Joining in are investors JIC Venture Growth Investments Co., Ltd., and WiL, with 15 underwriters in total. ArkEdge Space has thus raised a total of JPY 10.7 billion.
Takayoshi Fukuyo, CEO of ArkEdge Space said: “Under our mission of ‘Empowering people with satellites for a prosperous future,’ we are committed to addressing global challenges and driving sustainable development. This funding will enable us to expand commercial satellite constellation development, advancing maritime communications, remote sensing, lunar navigation, and LEO positioning. By strengthening our capabilities across these domains, we will unlock new value through space technology.”
Background
ArkEdge Space has been developing a standard multiple-purpose bus system for 6U satellites that can support various missions including IoT data collection, remote sensing, maritime satellite communications (VHF Data Exchange System: VDES ), and optical communications.
In November 2024, ArkEdge Space successfully completed the basic design, development, and mass production testing for its 6U multi-purpose bus systems, and we have now transitioned to the launch and in-orbit demonstration phase.
In March 2023, our VDES project was selected for NEDO’s “Key and Advanced Technology R&D through Cross Community Collaboration Program (K Program): Development and Demonstration Project of Maritime Situational Awareness Technology Based on a Constellation of VDES Satellites” (a total project amount: up to JPY14.7 billion through fiscal year 2029). Under the project, ArkEdge Space has been working on the satellite systems design, and development of fundamental technologies. Furthermore in November 2024, ArkEdge Space was selected for the “Accelerating the Commercial Satellite Constellation Deployment (development of multi-purpose satellite constellations equipped with sensors to expand data collection across multiple wavelengths)” initiative under Japan Aerospace Exploration Agency (JAXA) Space Strategy Fund, advancing toward building commercial constellations.
For Earth observation, our project was selected in October 2023 for the “Small Business Innovation Research (SBIR Phase 3),” (total project amount: JPY 3.5 billion through fiscal year 2027). Under this project, we are developing satellite system designs and key technologies critical for a multi-wavelength remote sensing satellite system capable of collecting diverse frequency data for applications such as environmental monitoring in agriculture and forestry and atmospheric observations of greenhouse gases. In addition, ArkEdge Space has taken the initiative in working with organizations in South America, Central Asia, and other regions to address global challenges and promote sustainable development through the utilization of satellite data platforms.
For lunar infrastructure and satellite positioning, ArkEdge Space has been selected contracts under JAXA’s “Stardust Program (Strategic Programs for Accelerating Research, Development, and Utilization of Space Technology)” and has in collaboration with JAXA to develop a Lunar Navigation Satellite System (LNSS) with the aim of building new communication and navigation infrastructure for lunar missions. Since October 2024, we also started a feasibility study on Low Earth Orbit Positioning Navigation and Timing (LEO-PNT) System which is designed to provide higher-precision positioning data and location services to users on the ground or in low earth orbit.
As a comprehensive integrator of micro-satellite systems, the demand and expectations for ArkEdge Space have been steadily increasing. Since our Series A round of funding in March 2022, the company has received cumulative orders and funding exceeding JPY 32 billion and has grown its workforce by 4.5 times, reaching over 120 employees as of January 2025.
Purpose of Funding and Vision
With this funding, ArkEdge Space will accelerate the development of commercial satellite constellations designed to address global challenges and sustainable infrastructure needs.These constellations will provide innovative solutions for VDES, enabling two-way maritime communication, maritime situational awareness, and multi-wavelength remote sensing to collect diverse frequency data, serving government agencies and private sector operators worldwide. Beyond constellation development, ArkEdge Space will strengthen core satellite technologies, including optical communications, and expand our technical and talent base. Leveraging our experience in 6U satellite mass production, we are preparing for the next stage—scaling up production to support larger 50kg class micro-satellites.
Comments from Investors
Toru Akaura, General Partner, Incubate Fund KK: Since investing in March 2021, ArkEdge Space has showcased exceptional development capabilities in micro-satellites under the leadership of Mr.Fukuyo CEO. The company has steadily acquired numerous domestic and international projects, positioning itself as a leader in the global space business. Following the operational deployment of mass-production model satellites last December, ArkEdge Space is making significant strides toward building small satellite constellations. We remain committed to fully supporting their endeavors.
Toshiya Kishimura, Venture Capitalist, JIC Venture Growth Investments Co., Ltd.: Micro-satellite technologies are a revolutionary field, opening new possibilities for space utilization, from maritime satellite communications and Earth observation to lunar positioning and deep space exploration.
ArkEdge Space stands out with its end-to-end expertise—from planning and design to mass production and operations—aiming to drive commercial space innovation and expand accessibility to space.
We recognize the immense potential and societal significance of these efforts in shaping the future of the space industry and addressing global challenges. Our investment reflects confidence in ArkEdge Space’s technological and business capabilities, which will play a key role in strengthening Japan’s position in the competitive global space market.
Masataka Matsumoto, General Partner & Co-founder, WiL: The space industry holds transformative and upbringing potential, impacting technology, economics, the environment, and society. With its vision of “Empowering people with satellites for a prosperous future,” ArkEdge Space leverages Japan’s advanced micro-satellite technologies to address global challenges. We are excited to support the company as it reaches the next stage of growth and continues its groundbreaking work in the space tech industry.
Takumi Hashizume, Managing Director, Head of Space Innovation Office, MUFG Bank, Ltd.
MUFG has decided to invest in ArkEdge Space, recognizing their technological capabilities and growth potential as a key player in Japan’s space industry. Through collaboration on innovative satellite data solutions, we plan to contribute to building a robust Japan’s space industry value chain while supporting ArkEdge Space in its mission.
Tetsuji Nakano, General Manager Investment Department I, SMBC Venture Capital Co., Ltd.: ArkEdge Space’s exceptional development expertise, alongside its commitment to open software, component localization, and the establishment of Japan’s supply chains for mass production, aligns with our vision of revitalizing Japan’s space industry. The SMBC Group remains united in supporting the company’s next phase of growth.
Kosuke Nakanishi, Managing Director, Head of Merchant Banking Dept., SMBC Nikko Securities Inc.: ArkEdge Space’s exceptional satellite technology and dedication to its mission—“Empowering people with satellites for a prosperous future”—deeply resonate with us, leading to our decision to invest.
With CEO Fukuyo’s strong leadership, we are confident that the company will continue to pioneer advancements in the space industry and expand its global presence.
Kunio Handa, President, Mizuho Capital Co., Ltd.: ArkEdge Space is a leading small satellite integrator in Japan, pioneering cutting-edge, multi-mission satellite constellations for Earth observation, communications, positioning services, and lunar and deep space exploration. The company continues to drive innovation on a global scale.
At Mizuho Capital, we are proud to work alongside CEO Fukuyo and the ArkEdge Space team to contribute to solving societal challenges through small satellite technologies.
Hiroki Sawada, Venture Capitalist, Hulic Startup Co., Ltd.: We have decided to invest in ArkEdge Space, recognizing its advanced technology in developing highly versatile micro-small satellites. The company’s micro-satellite constellation business strongly aligns with Hulic’s vision of building a society founded on trust and security. Through this investment, we are committed to fully supporting ArkEdge Space’s continued growth and success.
Nobufusa Takeuchi, Representative Director, Future Creation Capital Co., Ltd. (CVC of Mizuho Leasing Co., Ltd.): We deeply respect the remarkable technological capabilities of ArkEdge Space, which empower a wide range of industries—from remote sensing to deep space exploration. Additionally, we hold great admiration for CEO Fukuyo and the passionate, dynamic team driving the company’s vision forward. Together with ArkEdge Space, we look forward to creating new futures and businesses while contributing to solving societal challenges and advancing economic development.
Hideki Kanayama, Space Program Dept. General Manager, SHIMIZU CORPORATION: At Shimizu Corporation, we embrace a forward-thinking mindset of “Super Construction,” aiming to exceed societal expectations and contribute to a sustainable future. Through our capital partnership with ArkEdge Space, we are excited to collaborate on developing solutions leveraging multi-wavelength remote sensing technologies. Together, we aim to address global challenges and create societal value for a better tomorrow.
Eiji Yamauchi, Senior Director, Shizuoka Capital Company Limited: We are delighted to collaborate with ArkEdge Space under the leadership of CEO Fukuyo. We firmly believe that initiatives such as leveraging data utilization at the Makinohara Ground Station in Shizuoka Prefecture will provide new value to the region. Alongside an outstanding group of shareholders, we are committed to supporting ArkEdge Space as it strives toward becoming a global leader in the space industry.
Ichitaro Akita, Co-Head of Investment for Next-generation Growth, SPARX Asset Management Co., Ltd.: Under the strong leadership of CEO Fukuyo, ArkEdge Space has assembled diverse talents to lead in the development, demonstration, and societal application of micro-satellite constellations. We are confident in their growth as a world-class company emerging from Japan and are thrilled to support their continued advancement.
Masaaki Ando, Partner, Investment Department, MITSUI SUMITOMO INSURANCE Venture Capital Co.,Ltd.: We are delighted to continue supporting ArkEdge Space in this series, following our participation in Series A in 2022. Over the past three years, the company has advanced the development and commercialization of satellites for missions including Earth observation, VDES communication, and lunar and deep space exploration. We remain confident that ArkEdge Space will continue to thrive as Japan’s leading integrator of micro-satellite systems.
Masato Ogawa, Board Director, Senior Managing Executive Officer Unit President, Space Business Unit, SKY Perfect JSAT Corporation: As Japan’s first private company to launch a communications satellite, SKY Perfect JSAT has led the space business for over 30 years. Through this collaboration with ArkEdge Space, we aim to drive new business developments and advance the space industry further, leveraging their innovative satellite mission expertise.
Kazuhiko Shimizu, for Startups Limited Partnership General Partner, for Startups Capital, LLC.: Having closely worked alongside ArkEdge Space, we believe the company plays a critical role in advancing Japan’s space policies and strengthening international competitiveness in the industry, we have decided to invest in the company. By fostering collaborations with both government and private sectors, ArkEdge Space is driving sustainable growth and contributing to the revitalization of Japan’s economy. We are honored to support its mission fully.
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