German defense technology company Helsing has partnered with Japanese technology giant Rakuten to support the potential sale of its HX-2 attack drones to Japan’s Ground Self-Defense Force, as Tokyo accelerates efforts to modernize its military capabilities amid growing security challenges in the Indo-Pacific.

Japan’s Ground Self-Defense Force is conducting field evaluations of the HX-2 strike drone, with testing expected to continue through the end of September. Rakuten will assist Helsing in navigating Japan’s defense procurement system and support the possible introduction of the platform into Japan’s military inventory.

Japan’s military modernization opens new opportunities

Japan has increased defense spending in recent years as it seeks to strengthen its military capabilities in response to a changing regional security environment, including China’s expanding military presence, tensions around Taiwan and growing concerns over missile threats from North Korea.

The country’s decision to expand its defense capabilities, along with the easing of restrictions on defense exports, has created new opportunities for European and other international defense companies seeking access to Japan’s growing military market.

Munich-based Helsing announced earlier this year that it had reached an initial agreement related to the use of its systems by the Japanese government, although the company did not initially reveal its local partner. Rakuten later confirmed its involvement in supporting the project.

Rakuten becomes a bridge for defense technology firms

Although primarily known for e-commerce, financial services and digital platforms, Rakuten is expanding its role in the defense sector by helping international technology companies enter Japan’s military supply chain.

The company aims to assist foreign defense firms in dealing with Japan’s complex procurement procedures, regulatory requirements and government acquisition processes, which have traditionally created barriers for new suppliers entering the market.

Rakuten CEO’s office has argued that greater involvement from technology companies could contribute to strengthening Japan’s defense capabilities and accelerating innovation in the sector.

HX-2 drone highlights shift toward AI-powered warfare

The HX-2 is an artificial intelligence-enabled strike drone designed for precision attacks and autonomous operations in challenging battlefield environments. The system reflects Helsing’s broader focus on AI-driven defense technologies, including battlefield software, autonomous platforms and surveillance systems.

Founded in 2021, Helsing initially developed artificial intelligence tools for analyzing battlefield data before expanding into unmanned systems and advanced military technologies.

The company has secured contracts with European governments and defense organizations and has also provided drone technology to Ukraine with support from the German government.

In July, Helsing raised $1.8 billion in a funding round that increased the company’s valuation to $12 billion, making it one of Europe’s most valuable defense technology startups.

Japan emerges as a key market for global defense firms

Rakuten has previously supported defense technology companies seeking opportunities in Japan, including helping introduce AI-based drone technologies developed by Ukrainian firms to Japanese defense officials.

Japan’s growing military budget and increasing investment in autonomous systems have made the country a major target for international defense companies. The partnership between Helsing and Rakuten reflects a broader shift as European defense firms seek stronger positions in the Indo-Pacific market.

As Tokyo continues to strengthen its defense industry and expand cooperation with foreign technology providers, companies specializing in drones, artificial intelligence and autonomous systems are expected to play a growing role in Japan’s future military strategy.(ILKHA)