The Japan Aerospace Exploration Agency, in partnership with academia and industry, are developing the Air Turbo Rocket for Innovative Unmanned Mission (ATRIUM) engine: an air turboramjet + rocket combine cycle propulsion system intended to replace conventional liquid rocket engines in Vertical Takeoff Vertical Landing applications, such as reusable sounding rockets. A subscale Flight Test Bed (FTB) vehicle is also being developed to demonstrate the ATRIUM engine in a flight environment. In this paper, the ATRIUM engine and FTB vehicle are introduced, and current progress in their development is summarized. Future test plans and practical applications are also discussed.