Q1. I would like to know if it's free for a developer (I mean, if I have to pay no royalties to Sun/Oracle) to develop (Android) mobile apps in Java?

After reading this snippet about use of Java field, I'm getting the impression that Java is not free for mobile development, is that right?

.."General Purpose Desktop Computers and Servers" means computers, including desktop and laptop computers, or servers, used for general computing functions under end user control (such as but not specifically limited to email, general purpose Internet browsing, and office suite productivity tools). The use of Software in systems and solutions that provide dedicated functionality (other than as mentioned above) or designed for use in embedded or function-specific software applications, for example but not limited to: Software embedded in or bundled with industrial control systems, wireless mobile telephones, wireless handheld devices, netbooks, kiosks, TV/STB, Blu-ray Disc devices, telematics and network control switching equipment, printers and storage management systems, and other related systems are excluded from this definition and not licensed under this Agreement...

and from http://www.excelsiorjet.com/embedded/

Notice : The Java SE Embedded technology license currently prohibits the use of Java SE in cell phones.

Q2. how come these plethora of Android Java developers aren't paying Sun/Oracle a dime?