Rakuten and AST SpaceMobile launch joint venture to build Japan direct‑to‑device satellite network
Rakuten Group and AST SpaceMobile will create a new company, Rakuten AST, slated for incorporation in November 2026. The venture will receive up to ¥148 billion (about $1 billion) in Japanese government support over roughly three years and aims to start domestic satellite operations by the end of March 2029. Rakuten will hold 51% of the voting rights and AST SpaceMobile 49%, with AST supplying the satellites. The announcement coincided with AST’s Q3 2026 earnings release, which reported $42.3 million of revenue.
Why it matters
The JV gives AST access to a large government‑backed project and a new revenue stream from satellite supply, which drove its shares up more than 15% on the news. Cantor Fitzgerald reiterated an Overweight rating and a $90 price target, citing the deal’s upside.
Key facts
- 1Rakuten AST is planned to be established in November 2026. finance.biggo.com
- 2The joint venture will receive up to ¥148 billion in support over roughly three years. finance.biggo.com
- 3Domestic network operations are targeted for the end of March 2029. finance.biggo.com
- 4Rakuten Group will hold 51% of voting rights and AST SpaceMobile 49%. 247wallst.com
- 5AST SpaceMobile will supply the satellites for the network. 247wallst.com
- 6AST reported Q3 2026 revenue of $42.3 million. investing.com
Summary written by AlphAI AI Desk from 14 of 14 sources. Not investment advice. Figures are as stated by the linked sources.