That said, Oracle has rolled a grenade into the greater Java ecosystem and we're waiting to see what happens next. If "Oracle messes things up enough" I suspect we'll see a lot more than a slow down in new projects, or at least the sort we're interested in.
Java is not dying. The enterprise footprint alone will sustain the community (and developers) for years. And there is still plenty of innovation rolling out (SpringMVC is a good example) and I see some great angles for VMWare.
That said, I finally broke down and started learning Ruby last week (after the Oracle litigation announcement). All I can say is...wow. In less than a week, I was pretty comfortable with RoR (OO and MVC felt right at home). Over the weekend, I built an app that I'm actually proud of and planning to share with the HN community for feedback this week. The community is friendly and I'm blown away by the ecosystem (Heroku is ridiculously great).
Bottom-line: I built my home and fed my family with Java over the past decade and feel almost a sense of loyalty. I thought I was pretty fast in Java, but my productivity is up in RoR, even with the learning curve. I've loved every minute and have decided to build subsequent projects using RoR unless I run into some type of crazy roadblock along the way.
The early adopters that embraced Java and pushed it before it was proven (.97b anyone?) are the same people that love trying new things now. That other options are so enjoyable is a bigger threat to Java than Oracle. Oracle might have just provided the nudge people needed to see for themselves.
A couple of projects that suggest Java may not be dying (quite yet) are Roo and GWT. Roo is a spring-based framework that is very Rails-esque in terms of getting a web application up and running very quickly, though I haven't looked through much of the code. GWT is (as almost everyone knows) a very powerful framework for creating rich internet applications. It's a really major departure from page-based technologies.
Aside from that, there are still other projects like Guice, Gin, Struts 2 (and other MVC frameworks), ORM type work, and so forth (many of which are often used with GWT and are rolled into Roo).
While I've looked into these, none of them are enough to make me want to make a switch (back) from Ruby to Java programming. But I do think there's still enough going on there that I really wouldn't say Java is dying as a language that people use to build web applications (and I don't mean purely as a JVM or legacy code thing...) Some of the top innovation is still happening in Javaland.
It was born in sin, marketed beyond merit, and has a horrible culture of bureaucracy and overhead.
Here's how we went from Ruby to JRuby + Java: http://bens.me.uk/2010/jruby-in-practice
http://www.michaelnygard.com/blog/2010/04/the_future_of_soft...
"The Future of Software Development"