Japanese startup Space One aborted the launch of its Kairos rocket shortly after takeoff from the Spaceport Kii launch site in Wakayama Prefecture.
The rocket lifted off before appearing to lose stability in midair and fall, leaving smoke visible in the sky.
The Tokyo-based company said it terminated the flight after determining that mission success was unlikely.
The launch had aimed to make Space One the first private Japanese company to place a satellite into orbit.