There's a lot of room for improvement in programming languages. New features aren't just novelty. The database/language impedance mismatch is still pretty big, language feature to support multithreading are still weak, strongly typed languages still need to handle "dynamic-ness" better. Microsoft has done a great job of introducing new features that people actually want while still maintaining backwards compatibility. Oracle is being way too conservative here and it does matter to their customers - even the big ones.
I spent a lot of time recently working at a fortune 20 company. Java was the official programming language of the company, but the Enterprise Architecture group was starting to lean closer to
For a language which forced Microsoft to up it's game with C#
Java has been playing catch up with C# for almost ten years. Attributes, generics, and lambdas were all added to Java long after they were added to C#. Also, Microsoft made them part of the runtime, while Java only made them part of the compiler (for the most part), so the features work a lot better in C#.
The point of this article is that Oracle has been slowing down the pace of innovation to an even slower pace than Sun was at, and Sun had already lost a five year head start to Microsoft very quickly.