The first rocket ever developed by a private Japanese firm failed to reach its target altitude during a test on Sunday.
The ten-meter rocket -- called 'MOMO' -- was aborted after communications with the rocket's telemetry system failed about 80 seconds after liftoff.
As a result, the rocket failed to reach its target altitude of more than 100 kilometers.
It's thought the rocket fell into the Pacific Ocean some eight kilometers from the launch site.
There was hope 'MOMO' would be used to pave the way for putting commercial microsatellites into orbit, but those plans might be delayed following the test failure.