I'm not a huge fan of the Shaq move, but I think Orlando just posed a particularly bad matchup for Cleveland and both Orlando and Cleveland took steps to remove that bad matchup. Aside from Shaq having a body to put on Howard (I think that's overrated because Shaq is not a good defender), the Cavs made two moves I absolutely loved - bringing in Anthony Parker and Jamario Moon. Those guys give Cleveland two more tall perimeter defenders. They can put Moon in at the 3 and play Lebron at the 4 occassionally, or they can go huge with a Shaq-Varejao-Lebron-Moon-Parker lineup on occasion. To me, they upgraded their starting 2 from Delonte to Parker (similar players, but the extra height makes Parker a much better fit for that starting lineup), their starting 5 from Ilgauskas to Shaq, their backup wings from Pavlovic and Wally to West and Moon, and their backup center from Ben Wallace to Ilgauskas. While I don't totally understand letting Joe Smith go, I think Hickson and, if he returns healthy, Powe, can fill all the minutes vacated by Smith. To me, they're just a much better team now, and they've solved many of the problems that made Orlando a bad matchup.
For Orlando's part, I think they improved too, but I think they lost the uniqueness that made them so difficult for Cleveland by letting Turkoglu go. They can still have a bombs away crunch time lineup of Nelson-Carter-Pietrus-Lewis with Howard, but they don't have the size factor at the 3 that forced Lebron to cover Turk. Cleveland can combat with Lebron on Lewis, Moon and Parker on Pietrus and Carter and Mo or Delonte on Nelson, with Shaq or Varejao on Howard. Orlando got better, but Cleveland's moves were smart.
Cleveland's problem will be that last year, they built their team to beat the Celtics. That wasn't effective, because they weren't built for the Magic (or, had they gone there, the Lakers). This year, they built their team to beat the Magic. But I think they'll fall short again because they're not built for the Celtics (or, if they get there, the Lakers - Pau and Odom will wreak havoc on Cleveland's frontcourt).
By the way, on the Lakers - while I think Artest v. Ariza is debateable, that move makes some sense for the Finals. They need a guy to cover Lebron or Pierce. That's what Artest can do much better than Ariza. Ariza is overall a better defender - much quicker at this point, more athletic. However, Artest is much stronger than Ariza and due to his experience, a very smart defender. That's what you need on the likes of Lebron and Pierce. The problem for LA might be that Artest is far less useful than Ariza against the Spurs (Ariza could defend Jefferson or Ginobli much more effectively than Artest can, in my opinion).