I'm running into an issue starting Android Studio on Ubuntu after updating it to 2.2.2. It keeps giving the following error immediately on startup, AS won't even open:

Cannot start under Java 1.7.0_101-b00: Java 1.8 or later is required.

The issue seems clear enough, right? So lets go through it from the start, starting with android-studio.desktop:

[Desktop Entry]
Version=1.0
Type=Application
Name=Android Studio
Icon=/home/xylon/tools/android/android-studio/bin/idea.png
Exec="/home/xylon/tools/android/android-studio/bin/studio.sh" %f
Comment=Android Studio developer environment
Categories=Development;IDE;
Terminal=false
StartupWMClass=jetbrains-android-studio

Ok, need to check studio.sh, this shows the following:

# ---------------------------------------------------------------------
# Locate a JDK installation directory which will be used to run the IDE.
# Try (in order): STUDIO_JDK, ../jre, JDK_HOME, JAVA_HOME, "java" in PATH.
# ---------------------------------------------------------------------

So lets fire up my terminal:

xylon@hyperion:~$ echo $STUDIO_JDK 
/usr/lib/jvm/java-8-oracle
xylon@hyperion:~$ echo $JDK_HOME
/usr/lib/jvm/java-8-oracle
xylon@hyperion:~$ echo $JAVA_HOME
/usr/lib/jvm/java-8-oracle
xylon@hyperion:~$ java -version
java version "1.8.0_111"
Java(TM) SE Runtime Environment (build 1.8.0_111-b14)
Java HotSpot(TM) 64-Bit Server VM (build 25.111-b14, mixed mode)
xylon@hyperion:~$ javac -version
javac 1.8.0_111

And last but not least ../jre in the android studio directory itself:

xylon@hyperion:~/tools/android/android-studio/jre/bin$ ./java -version
openjdk version "1.8.0_76-release"
OpenJDK Runtime Environment (build 1.8.0_76-release-b03)
OpenJDK 64-Bit Server VM (build 25.76-b03, mixed mode)
xylon@hyperion:~/tools/android/android-studio/jre/bin$ ./javac -version
javac 1.8.0_76-release

So WTF am I missing?