Earlier quoted context omitted.
So you're saying that type erasure makes programming easier and less error prone?
What choice did they have? Either break compatibility, or use type erasure.
Their fundamental concern is to milk Java as much and as long as they can to drive their sales for Oracle DB and associated business products. And that makes perfect sense too, they are in business to make money anything else and they won't be doing their job properly. Don't you see what has become of Sun Microsystems? They were making awesome stuff by the day for somebody else's profits. Oracle is not going to make the same mistake again.
Java is oracle's strategic investment in using that as a leverage to drive sales else where. And looking at their segment, its mean't mostly for large corporate programmers and not hacker, start ups and alike.
I bet IBM makes sufficient contribution to COBOL still just to keep their mainframe sales alive and not because they want COBOL to be awesome enough to rule the world.
Similarly Oracle's contributions and investments to Java are going to be for driving their sales not for sake of making Java awesome.