The space industry impacts every other industry.

Interest in space is intensifying. Amid this trend, planners and teams within the advertising communication world are actively exploring and promoting various collaborations between companies and space. Here, we spoke with three Dentsu Inc. communicators currently active in the field about practical examples and the potential of corporate-space collaborations. In this third installment, Mr. Toshihiro Katayama of Dentsu Public Account Center discusses the potential of the space industry.

A Detailed View of Economic Activity

At an energy exhibition held in the UAE, Japanese space technology was showcased (see column). Having had the opportunity to assist with this project and witness the cutting edge of development firsthand, I became keenly aware of the "potential of the space industry." I am convinced it holds the power to transform many things, much like the internet did 20 years ago. The space industry is poised to impact every sector moving forward.

Currently, space technologies being pursued by Japanese private ventures are attracting significant attention. One area is the development of microsatellites. Production costs, which previously ran into the tens of billions of yen, have been reduced to just a few billion yen. Mass production would lower costs even further.

Similarly, development of ultra-small rockets to launch these satellites is advancing. These low-cost, mass-produced rockets, once practical, will usher in a future where ultra-small satellites can be launched rapidly. Japan's private ventures already see this practicality on the horizon.

Once realized, satellites will transmit vast amounts of big data. Furthermore, within a few years, government-led initiatives are expected to enable domestic GPS positioning accurate to within centimeters. Satellite imagery will also be updated daily. This will provide unprecedented detail into human economic activity and other phenomena.

Creating a positive cycle of public-private collaboration for further development

This will also bring significant changes to marketing. Monitoring traffic and parking lot conditions will enable their use in area marketing, such as planning retail store locations. Alternatively, with highly detailed location data, online ads could be tailored to where people are. Other applications include closely monitoring crop growth conditions. Since crop conditions relate to futures prices, this also impacts financial markets. Thus, big data from space is poised to transform marketing and corporate decision-making. Japan's privately developed microsatellites, micro-rockets, and government-led domestic GPS systems hold this immense potential.

Naturally, this will diversify corporate strategies, and some companies may even acquire their own microsatellites. Regarding the rockets used for launches, companies could sponsor launch events or purchase complete satellite-rocket packages to conduct all space experiments and data acquisition in-house. In this sense, supporting these ventures now may be crucial for the future.

As private space technology advances, it will eventually exert influence in diplomatic negotiations. We should see developments similar to the UAE's case, such as the export of space infrastructure. Space technology born from government demand will develop as a private industry, and then be leveraged again in government diplomatic negotiations. I believe this will create a positive cycle of public-private collaboration.

 

Last November and this January, Japan's pavilion, themed "Space Technology for Resources and Energy," was consecutively exhibited at energy-related trade shows held in Abu Dhabi, UAE. The UAE established its "Space Agency" two years ago and announced it will begin a Mars exploration mission in 2021, its 50th anniversary of founding. The message expressing Japan's desire to utilize its space development technologies, including those of JAXA and various venture companies, for the UAE's development generated significant interest. The exhibitions attracted many visitors, including members of the UAE's ruling families and executives from state-owned enterprises. Concurrently held space-related events organized by both governments also saw brisk activity. Space is playing a role in further strengthening the relationship between Japan and the UAE, two nations with deep ties through resources like oil.