Rakuten, German startup Helsing test military drones for Japan

Rakuten Group

Rakuten Group, primarily known as an e-commerce and online shopping mall operator, is making a significant strategic pivot into the defense technology sector. This move is exemplified by its role as the "point of contact" between German defense AI startup Helsing and the Japanese government, facilitating the introduction of advanced military drones. This expansion is not entirely new for Rakuten, as it has previously engaged in defense-related initiatives, including a partnership with a Ukrainian government agency to develop defense technologies and its subsidiary Rakuten Mobile's participation in joint U.S.-Japan military trials focused on mobile technologies.

The company's foray into defense reflects a broader trend in Japan, where companies are increasingly aligning with the government's stepped-up defense spending. For Rakuten, this diversification could open new revenue streams and strategic partnerships beyond its traditional consumer-facing businesses. The collaboration with Helsing positions Rakuten as a key enabler for Japan's defense modernization efforts, leveraging its established corporate infrastructure and relationships to bridge international technology transfers.

Helsing

Helsing, a Munich-based defense AI startup founded in 2021, has rapidly gained prominence in the military software and attack drone market, particularly following Russia’s invasion of Ukraine. The company's offerings include the HX-2 AI strike drone, which features sophisticated software designed to enable target seeking and identification without requiring continuous data connectivity. This capability represents a significant advancement in autonomous military technology, potentially enhancing operational effectiveness in contested environments.

The startup's rapid ascent is underscored by a recent valuation of $18 billion, backed by Goldman Sachs, highlighting investor confidence in its innovative defense solutions. While Helsing has not publicly disclosed military contracts outside of its native Germany, the article notes its active presence in multiple countries, suggesting a broader international strategy. Its partnership with Rakuten to enter the Japanese market marks one of its first reported collaborations in the Asia-Pacific region, signaling a strategic expansion into a key defense market.

Ground Self-Defense Force

The Japanese Ground Self-Defense Force (GSDF) is set to conduct field tests of Helsing's drones through the end of September, indicating a concrete step towards integrating advanced AI-powered military hardware into Japan's defense capabilities. This initiative aligns with Japan's broader policy shift towards increasing defense spending and modernizing its military, a departure from decades of strict restrictions on arms exports. The acquisition and testing of such sophisticated drones underscore Japan's commitment to enhancing its national security posture in a complex geopolitical landscape.

The field tests will provide crucial data on the performance and suitability of Helsing's technology for Japan's specific operational requirements. This direct engagement with cutting-edge defense AI reflects a proactive approach by the GSDF to evaluate and adopt technologies that can provide a strategic advantage. The collaboration with a German startup, facilitated by a major Japanese corporation like Rakuten, also highlights an increasing willingness to seek advanced defense solutions from international partners, diversifying its procurement beyond traditional allies.