In 1965s Computer hardware cost per hour were huge and the cost of computer programmers was relatively cheap. Now its just the opposite. Computers are relatively cheap and cost of software engineers are high (at least here in the United States). It has gotten to the point where the software costs are more than the hardware.Me, IT for the past 13 years and yeah, everything seems to be getting outsourced, getting scary.
See Deitel Operating Systems page 10 "Relative Value of Human and Computer Resources"