Oracle is all in on this cloud stuff. They were late to the cloud game and are now playing catch up to Salesforce and Workday. So now Oracle (and SAP as well) are snapping up cloud based products. It's the flavor of the month.
What Oracle has figured out is that it is actually more profitable to sell SAAS software than traditional on premise software. With on premise software you have to support lots of different databases and middle ware and OS's. That makes your development and testing exponentially more difficult and expensive. With SAAS you only have to support one stack - yours.
Customers give up a lot of control for the convenience of SAAS based products. And the dirty little secret is that SAAS actually costs you more money in the long run. This is why Oracle is so eager to jump on the cloud bandwagon. It's not about doing what their customers want - it's about making more money. On a conference call about 3 months ago Ellison came right out and said that cloud is more profitable.
Think of it like buying vs leasing a car. Leasing gives you convenience but every study I have read says that buying the car is cheaper in the long run. Eventually customers will catch on to this and cloud will vaporize. But until then there is money to be made and made it shall be.