This was spotted by Fred: When he tried to install JBDS and selected Oracle JDK 1.8.0, he got: "JBoss Developer Studio does not work with selected version of java."

It was on Windows and I managed to reproduced it there, but it is probably not limited to Windows. It works fine with Oracle JDK 1.8.0_05. So the key here is that this is the original 1.8.0 release.

Fred suspects that this commit broke this:
https://github.com/jbdevstudio/jbdevstudio-product/commit/080b102d893b801b0624efffeb2827e722217d23#diff-275554ea42daa93a4da90ff630802936R397