Sure, there's some local discussion about street cars in Oakland. I'd love to see it happen and agree with 21st Century Urban Solutions that streetcars would help revitalize Oakland, but I'm not expecting it anytime soon.
No, the big news that's not just in Oakland but all over the blogosphere is that Google Maps at long last has bike routes and mapping. You can read the official pronouncement at the Official Google Blog. It's still in development, but it looks like they've got a good start, with maps in over 150 cities. The routes give priority to bike paths and lanes, and attempt to avoid steep routes. For example, coming back from Kaiser, the first suggestion was coming up Moraga. At the cost of an additional 0.9 miles, the second suggestion was to go up Broadway and around past Lake Temescal which is less steep. On the other hand, it didn't suggest going up the Shepherd Canyon Trail behind Montclair Village, but instead riding up Colton Blvd. Using the trail adds 0.8 miles, but Colton is hecka busy and hecka steep. The trail keeps you off the street for much of the way (and on less busy and steep streets for the rest), so is well worth the added mileage.