IMHO, this is a step backwards. However, end of the day its not tragic. You just have to download the patches manually via Metalink like other Oracle products and upload them to your cache directory. Once they are in the cache directory just launch Smart Update and they will show up in the download patches section towards the bottom of the screen.
By default the cache directory is $WL_HOME/utils/bsu/cache_dir
|WebLogic Net Installers and Downloading of Patches Via Smart Update To Be Decommissioned [ID 1294294.1]|
To better coordinate the distribution of patches to Oracle customers, we are planning to consolidate on My Oracle Support as the single source for patch delivery. After the Smart Update changes are complete, you will be able to access patches and patch sets whenever you need them from the My Oracle Support Patches & Updates site.
To this end, the WebLogic Net Installers and Smart Update patch and patch set download capability will be decommissioned on June 10, 2011.