Space Quarters raises $5M to build large structures in orbit
What's the deal? Space QuartersDealroom has a profile for this one. Try Dealroom →, a Tokyo-based deep-tech startup, has raised $5 million in a seed round to develop robotic systems for assembling large structures in space. Global BrainDealroom has a profile for this one. Try Dealroom → led through its Flagship Fund IX, joined by the Tokyu ConstructionDealroom has a profile for this one. Try Dealroom →-GB Innovation Fund, ANA Future Frontier FundDealroom has a profile for this one. Try Dealroom →, Canon Marketing Japan MIRAI FundDealroom has a profile for this one. Try Dealroom →, and other Japanese investors.
What's the endgame? Space stations and orbital facilities are limited by rocket size, since structures must be fully assembled on the ground before launch. Space Quarters, spun out of Tohoku University in 2022, is developing a system that combines electron beam welding with robots to build large structures in orbit and on the Moon.
Why now? The company says it hit two technical milestones this year. In March 2026, it demonstrated stable welding of metal and lunar regolith in simulated microgravity aboard an aircraft; in June 2026, its DAIQ robotic system assembled and welded components in a ground test.
The capital will go toward expanding the engineering team, upgrading testing facilities, and preparing on-orbit and lunar demonstration missions planned for 2027–2028.
What could go wrong? In-space construction remains early-stage, and the bet rests on technology that has yet to prove itself in orbit. Electron beam welding suits the vacuum of space, but ground and aircraft tests are a long way from commercial deployment.
The signal: Investor interest in on-orbit assembly is building. In August 2026, European startup ArcSpaceDealroom has a profile for this one. Try Dealroom → raised a €2 million seed round for an electron-beam welding demonstration planned for 2027 — a sign that backers see a real constraint worth solving, even without an established market to prove it.
Read more: globalbrains.com
Image credit: NASA Goddard Photo and Video