Japanese automaker Toyota is venturing into uncharted territory, literally, as its chairman Akio Toyoda announced the company's exploration of rocket technology at CES 2025. The surprise revelation came during Toyoda's explanation of Toyota's "invention by kakezan" philosophy, which emphasizes the power of collaboration and innovation.

The mention of rocketry was met with a dramatic pause, as Toyoda hinted at the possibility of moving people through space, stating that "the future of mobility shouldn't be limited to just Earth, or just one car company." This subtle jab at Tesla and its CEO Elon Musk, who also heads SpaceX, underscores Toyota's ambition to expand its mobility vision beyond terrestrial boundaries.

While Toyoda initially provided no concrete details, a rendering of a rocket designed by Interstellar Technologies, a private Japanese spaceflight company, was showcased on stage. Following the conference, executives elaborated on the partnership, revealing that Toyota is working with Interstellar Technologies to develop a telecommunications network supporting Woven City, a prototype city located at the foot of Mount Fuji.

Woven City, a 175-acre living laboratory, was first announced in 2020, with the first phase now open. According to Hajime Kumabe, CEO of Woven by Toyota, the city's mountainous location necessitates the exploration of suitable communication network infrastructure to support autonomous vehicles. "When you think about cars that will be constantly moving, you need to have appropriate telecommunications," Kumabe emphasized, highlighting the need for seamless and uninterrupted communication.

The partnership between Toyota and Interstellar Technologies is further solidified by Woven by Toyota's investment of 7 billion yen (approximately $44.3 million) into the spaceflight company. This move marks a significant departure from Toyota's traditional focus on terrestrial mobility, and its cautious approach to electric vehicles, which has been criticized in the past.

Toyota's foray into rocket technology may seem unexpected, but it's not unprecedented. Sony's surprise announcement of an electric car at CES five years ago demonstrates that even established companies can pivot and explore new avenues. As the automotive industry continues to evolve, Toyota's exploration of space mobility could be a prescient move, especially as other manufacturers scale back their electrification plans.

As Toyota ventures into the unknown, it's clear that the company is committed to pushing the boundaries of mobility and innovation. With its eyes set on the stars, Toyota's exploration of rocket technology could have far-reaching implications for the future of transportation and beyond.