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.)
Good point, and it all comes down to whether Oracle wants to play hardball. I saw a good discussion of this a while back, even touching on the disposition of some of the MySQL forks. Can't seem to find it anymore.
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.)