OAuth is typically used when you want to provide a single point of authentication for multiple services, or if you want to integrate an application with an existing authentication service; e.g., if you wanted your users to log in with their Twitter account information.
In my experience, the only time I've had reason to implement an OAuth authentication service was because we had 3 very different applications running on different platforms (JBoss, LAMP, and ASP.NET) on different servers. To compensate for different databases and different technologies, we settled on an OAuth implementation and centralized authentication to one point. It also provided an excellent means of securing user information between servers; data is encrypted between OAuth Server and Client, making it harder to jeopardize.
It really depends on what you're trying to do. If you're just talking about one application, then OAuth is definitely too much too soon. If you're talking about a few applications that run on the same technologies, then you may or may not have to go with OAuth; you could just use the existing data store to authenticate with. If you're looking to scale out to multiple systems, or you're thinking of implementing a single sign-in type of service, then OAuth is definitely a consideration.