Making the Moon a Living Space: The "All-Industry Participation" Lunar Development Project Led by Private Company ispace
Takashi Hakamada
ispace Inc.
Mitsuhiko Goto
Dentsu Inc.
By 2040, 1,000 people will live on the moon, with 10,000 visitors annually—
ispace, one of the world's leading space venture companies, is working to make this future a reality. For about five years, Dentsu Inc. has collaborated with ispace on business development and marketing, while also continuing to support the company as a bridge connecting it with corporate partners.
Through a conversation between ispace CEO Takeshi Hakamada and Dentsu Inc. Solution Development Center Content Solutions Department Manager Mitsuhiko Goto, we explore the current state of lunar exploration—no longer a distant dream.
<Table of Contents>
▼Creating a "Space Industry" by Utilizing Lunar Water Resources
▼Non-space companies have the most to gain from participating in this project!
▼The Three Pillars of the Space Industry, Starting with "Lunar Cargo Transport Services"
Creating a "Space Industry" by Utilizing Lunar Water Resources
Goto: Today, we'll be discussing the creation of a space industry with Mr. Hakamada. What is the current landscape surrounding the space industry?
Hakamada: When people hear "space," they often think it's a distant world. However, our daily lives are fundamentally supported by space infrastructure like GPS, weather satellites, and communication satellites. Going forward, humanity's dependence on space—starting with the internet—will only deepen. How to efficiently build this "space infrastructure" will become a critical theme.
Regarding space exploration, for 50 years after Apollo 11 landed on the moon in 1969, humanity achieved no remarkable feats. However, technological development has accelerated rapidly in recent years, and within this context, the "moon" is once again gaining attention. At ispace, we are working towards realizing the "Moon Valley Concept," which aims to establish a resource mining area on the lunar surface by 2040.
Goto: That's the vision of establishing human habitats in space. Could you briefly outline the roadmap?
Hakamada: In the 2020s, we will establish transportation infrastructure on the lunar surface and develop high-frequency, low-cost transport services. Then, in the 2030s, we will conduct resource development on the moon, with the plan to create a future where people live on the moon in the 2040s.
Goto: I hear water is particularly promising as a lunar resource.
Hakamada: Some might be surprised to hear water exists on the Moon. During the Apollo 11 era, it was largely concluded that no traces of water were found. However, re-investigations began over the past decade, and in 2018, NASA confirmed the presence of water on the Moon. It's believed ice is mixed within the lunar regolith, with quantities estimated to reach billions of tons.
Water is essential for human life, but even more crucial is its potential to be separated into hydrogen and oxygen for use as fuel. Utilizing lunar water as fuel would allow the moon to serve as a sort of "relay base," significantly advancing space exploration and infrastructure development. I envision the moon playing a role akin to a trading port in space development.
Goto: Transporting water all the way from Earth would incur enormous shipping costs.
Hakamada: Exactly. Transporting resources from Earth to geostationary orbit, not just water, incurs enormous costs. However, sourcing resources directly from the Moon could reduce transportation costs to one-hundredth. The economic rationality is overwhelming.
Goto: Considering current technology, there's also the argument that "going to the Moon might be easier than going to Antarctica." Travel to Antarctica is heavily influenced by natural phenomena, but once you can launch rockets into space, nothing hinders the spacecraft, allowing smooth travel to the Moon. About 20,000 people visit Antarctica annually. Thinking about that, the idea of 10,000 people visiting the Moon each year by 2040 isn't a pipe dream.
Hakamada: I believe planetary exploration using the Moon as a relay base, and even lunar tourism, will become commonplace.
Goto: The space industry market is experiencing significant growth right now. The global market size was estimated at 30 trillion yen in 2016 and is projected to reach at least 100 trillion yen by the 2040s. Investment is also intensifying; in 2017, ispace raised 10.35 billion yen, the highest amount ever for a space venture. It received massive investments not only from government financial institutions like INCJ and the Development Bank of Japan, but also from non-space companies, including Dentsu Inc.
Hakamada: The background to this is the shift in space development from national agencies to private companies. For example, NASA is leading the "Gateway Concept" to create a new base in lunar orbit, but this is actually based on the premise of privatization. They probably decided that in order to reduce costs, they should encourage private companies to enter the market and create a competitive environment.
Goto: This shift to the private sector is a global trend. World-renowned entrepreneurs like Elon Musk with SpaceX and Jeff Bezos with Blue Origin are also launching space ventures with enormous funds. I feel that private space development is truly a vast blue ocean.
Hakamada: It is not feasible as a business if only NASA, JAXA, and other national agencies are involved in space development. The participation of private companies is essential to establish the space business as a sustainable "industry" and to achieve perpetual growth.
Non-space companies are precisely where the significance of project participation lies!
Goto: Ahead of the 2040 "Moon Valley Initiative," ispace is currently working on two missions, right?
Hakamada: Yes, we are implementing the "HAKUTO-R" program, which involves two lunar exploration missions by 2023. We plan to land on the moon in 2021 and conduct lunar exploration using a rover in 2023.
Based on this program, we are also developing the technology for the Lunar Lander and Lunar Rover. The concept is a low-cost, high-frequency transport system achieved through compactness and light weight. The Lander will be able to carry 30 kg of cargo to the moon several times a year, and the Rover is expected to be the world's lightest at 4 kg. A contract has already been signed with Elon Musk's SpaceX for the Falcon 9 launch vehicle.
Goto: "HAKUTO-R" has already secured sponsorship from numerous corporate partners. JAL, Mitsui Sumitomo Insurance, NGK Insulators, Citizen Watch, Suzuki, and Sumitomo Corporation are corporate partners, while TBS, Asahi Shimbun, and Shogakukan are media partners.
Hakamada: Mr. Goto and the Dentsu Inc. team are acting as key facilitators. Partner companies aren't just investing; they're participating as true collaborative partners, aiming to connect their core businesses to the space industry.
Goto: A key feature is that we're not just "supporting" HAKUTO-R as sponsors. We're building a scheme where each business unit leverages its strengths to actively "participate" in lunar development—in other words, in the space industry itself.
Hakamada: Exactly. For example, JAL built a lander assembly facility at their maintenance hangar at Narita Airport. They're also supporting us with technologies like fuel pipe welding and non-destructive testing to check engines for cracks.
Goto: The JAL maintenance facility staff said, "We never imagined we'd be involved in space development." Seeing their skills, honed over decades maintaining passenger aircraft engines, applied to space made everyone genuinely happy.
Hakamada: We are also collaborating with NGK Insulators on demonstration experiments for all-solid-state batteries that use no liquid electrolytes whatsoever. This technical demonstration aims to confirm whether stable power supply is possible even in the harsh lunar environment, where temperatures reach 110 degrees Celsius during the day and minus 170 degrees Celsius at night. Citizen Watch is applying its Super Titanium technology to the lander and rover. Suzuki is contributing its structural analysis technology, essential for achieving both miniaturization and strength in the structural design of the lander's landing legs.
Our collaboration extends beyond technology. Mitsui Sumitomo Insurance is developing a new "lunar insurance" product to support risk management. Sumitomo Corporation, celebrating its 100th anniversary this year, is working with us to contribute to space development from various perspectives. We are also seeking additional partner companies.
Goto: Many companies think, "Space development has nothing to do with us," but that's not the case. As long as humans move and live, what's necessary on Earth will also be needed on the Moon. In other words, "Moon × All Companies" could become a business opportunity.
Of course, Dentsu Inc. is no exception. We've been collaborating with ispace for about five years, providing not only business investment but also marketing and sales support, areas where Dentsu Inc. excels. Furthermore, we aim to cooperate as a sales agent for the transportation business from Earth to the Moon.
Hakamada: When I met Mr. Goto five years ago, ispace was tackling the Google Lunar XPRIZE, the first private unmanned lunar exploration contest. We provided support when they were struggling immensely to secure funding for rover development costs, personnel expenses, and more.
Goto: Mr. Hakamada, even back then, you were thinking about incorporating an "advertising model" into the space industry, right? Moreover, you needed support not just from space-related companies, but also from non-space companies. Dentsu Inc. has a strong advantage in accessing companies both domestically and internationally, so I felt it was a very good fit with ispace.
Hakamada: In the five years since, we've reached a point where we can feel tangible results as a substantive business. I believe ispace's name has become quite well-known within the global space business industry.
The three pillars of the space industry, starting with "Lunar Cargo Transport Services"
Goto: Please tell us about ispace's core business pillars.
Hakamada: In the short term, we envision three pillars. The first is our "transportation service" delivering cargo to the lunar surface. It's a system like parcel delivery, transporting exploration equipment and other supplies from Earth to the Moon.
Goto: If a single rover weighs 6 tons, that seems like a very large business opportunity.
Hakamada: The second pillar is providing various types of "data" obtained on the lunar surface. For example, when constructing buildings, it's essential to understand the lunar environment beforehand. Beyond such exploration data, we also plan to acquire and provide visual data usable in entertainment fields like VR and gaming.
And finally, we're focusing on sponsorship. We'll create opportunities for non-space companies to get involved in space for the first time through ispace.
Goto: Regarding the first transport service, the world is already starting to move, right?
Hakamada: Yes. ispace is also participating in NASA's Commercial Lunar Payload Services (CLPS) program. We're part of the team at the Draper Laboratory, which also contributed software development to the Apollo 11 mission, and ispace is handling the design of the lander and rover. CLPS is a major NASA project with a budget of approximately 300 billion yen over 10 years.
Goto: So you're advancing both "HAKUTO-R" and "CLPS" in parallel.
Hakamada: NASA aims to land on the moon as soon as possible. This stems from President Trump's policy announcement targeting a crewed lunar mission by 2024. Originally set for 2028, this accelerated timeline by four years has also pushed forward the lunar landing plans for HAKUTO-R. While this was a sudden advance, we're taking it positively and plan to respond swiftly.
Goto: In space development, there are powerful rivals like the United States, China, and India. How do you view this?
Hakamada: They are indeed a threat in a sense. However, to build a new space industry, "co-creation" is just as important as "competition." Moving forward, eliminating conflicts between nations over space will require some form of international agreement. I believe "Japanese private companies" can play a significant role in establishing that framework.
Fundamentally, space resources cannot be owned by nations under the Outer Space Treaty established by the United Nations. However, U.S. federal law permits private companies to own and trade space resources, and international discussions are beginning to move in that direction. In that sense, rather than superpowers confronting each other head-on, I believe the closest path to resolution lies in Japanese private companies taking the lead in discussions.
Goto: Space development is becoming an unavoidable business for private companies. As a growth sector, it attracts investment, and technological development is accelerating rapidly. Above all, its social significance is growing in importance. Combining these three elements—funding, technological development, and social significance—will give birth to a new massive industry. Dentsu Inc. also intends to focus even more on this area. Thank you very much for today!
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Author
Takashi Hakamada
ispace Inc.
Born in 1979. After earning a Master's degree in Aerospace Engineering from the Georgia Institute of Technology, he worked at a management consulting firm before founding ispace. He is currently advancing private space ventures utilizing space robotics technology to build a world where humanity establishes a habitat in space and Earth and space coexist. He competed in the Google Lunar XPRIZE as "HAKUTO" starting in 2010 and now leads "HAKUTO-R," the world's first private lunar exploration program.
Mitsuhiko Goto
Dentsu Inc.
Born in Tokyo. Spent childhood in Paris, Seoul, Manila, Taipei, Belgrade, and other cities. After working in sales for an automaker, engaged in planning utilizing content such as films, anime, games, and events at CDC, MCP Agency, and Solution Development Center. Leverages diverse IP as corporate solutions to maximize the value of both content and clients. Recipient of numerous awards, including a Cannes Lions Gold Award.
