With all the recent discussion about launch costs, I thought this would be of interest:

Details of New Japanese Cost-Cutting Launch Vehicle Leaked August 27, 2009 | Satellite Today | Staff Writer [Satellite TODAY 08-28-09] The Japan Aerospace Exploration Agency (JAXA) is spending $213 million to develop a small launch vehicle in 2010 to reduce satellite launch costs by two-thirds, according to Nikkei reports, released Aug. 27. JAXA is working with The Japanese Ministry of Science and Technology and IHI Corp. on the project. The new three-stage rocket will be 24 meters in length and 2.5 meters in diameter at its widest section – less than half the size and carrying capacity of JAXA’s H-2A launch vehicle. The rocket will be able to carry payloads as heavy as 1.2 tons and use solid fuel for all three of its stages. JAXA claims that, since it will not have to fill up with liquid fuel, using solid fuel will cut down on the time that the rocket will need to prepare for liftoff once it arrives at the launch site. Space Exploration Technologies Corp. (SpaceX) has a similar business model and mission in the United States. Falcon-1, SpaceX’s smaller launch vehicle, uses liquid fuel and costs between $8 and $10 million per launch. JAXA’s new rocket would bring competition into Asia’s discount launch vehicle market, as China is also looking to provide cheaper launch services through its Long-March vehicle. According to reports, the rocket will cost $32 million to produce and launch – less than a third of H-2A’s price tag. Falcon-1 missions currently cost between $8 and $10 million per launch. The first liftoff is expected to take place as early as fiscal 2012 and will most likely be used to send space research and solar system satellites into orbit. Eventually, the new rocket may carry a landing vehicle for Japan’s Moon exploration project, targeted for 2020, the agencies said in the reports.

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