Space One wanted to become the first Japanese private company to successfully place a satellite into orbit around the Earth. The failed launch is a setback for Japan's efforts to penetrate the potentially lucrative satellite launch market.

The rocket lifted off last month from Japan's state-owned Tanegashima spaceport in the southwest with a dummy satellite and two tiny satellites on board. During a first launch attempt last year, the engine of the second rocket stage failed to ignite. Since the mission had no chance of success, the self-destruction was triggered.