Cloud computing is the kind of application which provides services and resources to needy computers and devices within the vicinity. This is commonly applicable where local servers and personal devices are not required to handle the task. In the information technology, the word ‘cloud’ is an allegory for ‘internet’; thus, cloud computing, basically, implies a certain type of internet application. This is where diverse information technology services are being offered to individuals. Some of the services include servers, applications, storage, among others. These services are delivered to the clients through the internet. The move to outsource ‘cloud’ services to companies like IBM has greatly affected employment in the IT sector across the globe.

As most of the IT companies across the globe are adopting cloud computing, it, therefore, implies that the number of departments are going to reduce. For the companies that have not yet adopted cloud computing, change is on the horizon as the number of employees is expected to be reduced. A closer look into the matter reveals that it is not the wish of the employer but the idea that technology shapes the style of work. The modern technology has made work easier. For instance, one advantage of cloud computer is its ability to make work dramatically easier. In cloud computing, all computer services can now easily be pooled through the management software. It is quite unfortunate that workers whose skills have been mastered by technology are left behind because they no-longer have much to offer in the job market. In the short term, however, cloud computing is expected to retain a substantial amount of workforce. This is because of the process of migrating into cloud computing which is labor intensive. However, in the long run, it is expected that the number of employees directly connected to the IT systems to reduce.

The market of a particular company is mature when its operations have achieved the state of equilibrium. When a market is considered to be in a state of equilibrium, it means that there is an absence of any noteworthy development or due to lack of innovation. The equilibrium price occurs when the demand of a product matches the supply. The equilibrium price is then decided by the forces of demand and supply. The move to outsource services to companies like IBM, Xerox, Ho, and Dell has greatly reflected maturity in the computer software and hardware industries.

The new and hot technologies provided by these companies have flooded the market with many options thus leaving IT companies overwhelmed. The IT companies adopt these services so fast that they do not allow the market to sort itself. For a long period of time, there has been immaturity in the IT industry caused by lack of modern technological advancements. On the onset of the new technology and the cropping up of new companies like IBM and Dell, the IT industry has diversified. These companies, such as IBM, which provide services to IT companies, have developed brands which are useful and timely to the IT firms. These service providing companies play a significant role in selling the market. In the event that one technology surpasses the other, or in the event another technology comes into the market, then these companies will start positioning themselves in the market. Thus, the hardware and software industries’ market tend to be balanced and at an equilibrium position.