[ale] MySql scare tactics?

[jb at devsea.com (John Wells)]

I was perusing the license agreement at MySql.com
(http://www.mysql.com/products/licensing.html) and found this language:

"As long as you never distribute (internally or externally) the MySQL
Software in any way, you are free to use it for powering your application,
irrespective of whether your application is under GPL or other OSI
approved license or not."

I was under the impression that distributing internally would fall under
fair use per the GPL.  Is this not the case?  Is this an intended
vagueness on MySql's part to encourage license purchases?

I'm very unsure on what this grants me the right to do?