I will go by the definition of malicious as "characterized by malice; intending or intended to do harm"
Oracle has the intent of causing harm by installing the ASK toolbar? Yes -> malware, No -> not malware.
ASK has the intent of causing harm with the toolbar? Yes -> malware, No -> not malware.
Buuuuuuut....
I will also go by the definition of pernicious as "having a harmful effect, especially in a gradual or subtle way" To bring up a new classification perniciousware (or pernware)
Is ASK toolbar causing a gradual, subtle harmful effect on the user's computer? I don't think it's possible to answer no to this question. For me it's of course, at the very least by consuming resources (disk space, memory, cpu time) on unwanted software. So it's pernware
Is Oracle causing a gradual, subtle harmful effect on the user's computer by including the ASK toolbar, specially when it's the default installer behavior to install it? Yes (not no here either)-> Java installer is pernware.
Both Malicious and Pernicious definitions supplied by Google search :)
As a side note, I would say most big players are having serious pernicious behaviour on software distribution.
By automatically configuring the startup of their apps/services without asking; bundling software which has little to nothing to do with the provided one (i.e: Flash including an antivirus...) etc.
And ofc the well known un readable by general layman EULAs which gives them superpowers to do mostly anything they want with YOUR computer, software, and data.
Worst thing is. The smaller players uses these as excuses to do the same, and people has "accostumed" to this, and pay no longer any notice.
Opening wide breaches in most security and allowing anyone with malicious intent to do anything they want...