The new set-top boxes will download services broadcast via satellite in Japan such as distance learning, news and medical information, through their television sets. The agreement is another boost in Sun's efforts to establish its Java programming language as the software foundation of advanced consumer devices, like TV set-top boxes, handheld computers and other small computing devices. It has been vying with Microsoft Corp to be the key software supplier to cable companies and both firms have contracts with cable giant Tele-Communications Inc.

Sun said Hitachi plans to use the new set-top for Japanese satellite television systems. Sun's Java operating system, called JavaOS will be in 30,000 of the 200,000 set top boxes Hitachi will ship to consumers by the end of 1999.

Separately, Sun's Solaris Softwaregroup unveiled several new Internet software products, services and alliances as part of a continued emphasis on marketing to Internet service providers, where it already has a big presence.

Sun said that about 65 per cent of the approximately 5,000 Internet service providers use Sun software. Sun introduced a suite of software products developed for ISPs, including Sun Internet Mail Server software, Sun WebServer software, Sun Internet Calendar software, all running on Sun's Solaris operating system, Sun's version of unix. Sun also unveiled a version of Solaris designed just for Internet access companies, called Solaris for ISPs, developed with features such as superior protection against hackers.

Sun said that in the software applications space, it is mostly competing with free software on the Internet, used by many smaller Internet firms since they were founded.

"Lots of ISPs got started on no budgets," said Remy Malan, a senior director for information products at Sun. "For an ISP, some are livingon a fixed income of $19.95 a month a head, it's like being on social security." Sun said its products and services will be more cost effective because the Sun software is more reliable. Sun's software also runs with installed freeware, such as Apache server software and sendmail.

Sun also said it formed an Advanced Internet Consulting Practice, to support Internet service providers. Sun also formed an alliance with Lucent Technologies Inc, where Lucent will market a bundle of products and services targeted to large scale Internet service providers, including Sun's products.