I was simply stating that Oracle already has an Express edition, since you mentioned you thought they were going to turn MySQL into a SQLServer Express-type product. I actually agree with your overall point. It's definitely not in Oracle's favor to improve MySQL or attempt to increase its use. If anything, they will continue to have a free, community edition, of MySQL, and then probably also spin off a commercial version targeted to those that don't need the full power of an Oracle database.
Oracle seems to make a majority of its money in support contracts, not licensing. I think they could do quite well if they released a commercial version of MySQL and sold support for it. (They may already do this, I'm not sure.)