Oracle has been ramping up its cloud business for a while now. The CEO has been claiming that Oracle will be the top cloud in the next 5 years or so. Which means we probably shouldn't be shocked that Oracle has acquired the pretty well established "startup" Ravello. Ravello has become very popular in the last couple years for folks using it as a lab or demo environment. They can easily spin up virtualized hypervisors and VMs of course within Ravello from anywhere. It makes for a great practice environment.
The real appeal for Oracle, though, is likely Ravello's ability to spin up pretty much any hypervisor, including VMware ESXi, Microsoft Hyper-V and of course Xen. So it will possibly be much easier for customers to move their current cloud environments or even on prem environments to the Oracle cloud...no matter which hypervisor they're currently using.