According to North Korea, an accident occurred as it prepared to launch its first satellite into space, forcing it to crash into the ocean.
Pyongyang had declared its intention to deploy a satellite by June 11 in order to track US military operations.
Now, it promises to make another launch attempt as soon as feasible.
The launch caused a false alarm to go out in Seoul, South Korea, while Okinawa residents received a warning from Japan.
People in Seoul woke up to the sound of an air raid siren and an emergency message instructing them to get ready for an evacuation, only to learn 20 minutes later that it had been issued in error. This caused commotion and uncertainty.
On the Korean Peninsula, where tensions have existed between the two countries for 70 years, the stakes are high, and any false alarm could significantly erode public confidence in the alert system.
South Korea is threatened by North Korea, and if an alert is sent in the future, one concern is whether it will be taken seriously or dismissed as just another oversight.
According to Kim, a 33-year-old mother who resides in Seoul, she was “very scared” when she received the emergency notice and began collecting her luggage to leave.
“I didn’t believe there would be a war, but after the war in Ukraine it made me think that North Korea or China might invade [South] Korea,” she said, adding she thought Pyongyang had “lost its mind” and launched an invasion.
In a press conference, Seoul mayor Oh Se-hoon acknowledged the emergency text “may have been an overreaction” but said “there can be no compromise on safety”.
He said the city would improve its warning system to avoid confusion, AFP news agency reports.