Cloud Business Apps ARE SharePoint Apps. So yes, SharePoint is required. However you can deploy to either Office 365 or an on-premises SharePoint 2013 server.
And NO. LightSwitch is still very much part of Visual Studio and does not require SharePoint. We just released a ton of new features for both project types around the HTML client. Please make sure you check out the latest tools here: http://blogs.msdn.com/b/lightswitch/archive/2014/03/03/office-developer-tools-for-visual-studio-2013-march-2014-update.aspx