Latex still had it's place in academia, and would continue to dominate academic publishing for quite some time, but for 'ordinary' daily productivity needs first MacWrite and MacDraw, WordPerfect, Lotus 1-2-3, and later Word and Excel were becoming the staples.
With both software being ported to the PC/Mac platforms, and Linux starting to make inroads into the Unix compute workloads, Sun needed an answer fast to stop the bleeding.
Their inability to transform their high tough / high margin business model would do them in eventually as the commodity / thin margin model of the PC ecosystem grinded them into dust. But before that, they would try several things one of which was an attempt to 'complete' the offering of a single box solution which would have to include an 'office' package so as to keep the Mac / PC of the desks.
I worked on a Sun at NOAA in the 90s in Hawaii and the computer we used for bathymetry imaging was a Sun and the ships used Suns.
Most of that equipment was replaced with a little Linux and Windows Servers.