Oof. From the article:

"I don't see why some of those devices shouldn't come from Sun," said Ellison, who runs the world's third-largest software maker. "There will be computers that are fundamentally based on Java."

My first reaction: the Java environment will attract more enterprise devs than consumer devs. These netbooks won't be popular with consumers.

My second reaction: enterprise netbooks? Sounds like a lot of money to be made, and the margins could be lifted by support contracts, bundling with expensive software, etc. Oracle netbooks as remote consoles for DBAs, for example.