Oracle purchased BEA and their WebLogic suite of tools. They still have a competing product in their own 10gAS Application Server. Both are Java EE, enterprise grade, servers. While it make take some time due to maintenance agreements, it would be unusual for them to continue to produce two products within the same architectural space. So...
What have they done with PeopleSoft vs. Oracle Applications? Likely the same pattern will be followed.
You can go through a (rather long) PDF strategy briefing from Oracle. The key slide, though, is probably #48. Oracle has put BEA Weblogic on the "Strategic Products" list and the Oracle Application Server on the "Continue and Converge" list. So Oracle has indicated that the Oracle App Server will be going away (in marketing-ese that it will be converged with the BEA products) and that BEA Weblogic is the strategic direction going forward.
As to question 3, I'm sure it'll be at least a few years depending on your definition of "retired".
Yes. They have already announced their position. OC4J/Orion will continue to be supported however the weblogic release is the future of the platform.
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