Rushing to catch up rivals such as Hewlett-Packard Co and Silicon Graphics Inc, Sun Microsystems Inc says it will form a new business unit, Sun Interactive, within the next three months to build computer products for the telephone, cable and interactive markets. The news was given by Ed Callahan, vice-president and general manager of Sun’s global telecommunications and cable division, at the Bear Stearns 1994 technology conference. The new unit will develop a media server, based on standard Sun products, and it will be ready to ship by the second half of next year. The objective of this new organization is to bring together in a single unit the components from Sun businesses that are focused on the information superhighway, Callahan said, adding that it will focus on making connections between Sun’s server products, Asynchronous Transfer Mode Networks and set-top devices. More from the Bear Stearns conference – below