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The fact that you are asking this question makes me believe that you are speaking without having tried to search for an answer on your own. As a CS graduate with secondary subject Mathematics from TUM, I can only speak on behalf of it. You might find https://www.youtube.com/watch?time_continue=194&v=iu6UboRqan... interesting.

How do you know that TUM is not good enough? Probably you are referring to its popularity abroad? Well its definitely worse than that of Stanford, Harvard, MIT, Caltech, etc. But heck, we don't have Hollywood to constantly make plugs in blockbuster movies to boost worldwide opinion.

May I ask which part of Germany you live in and specifically what your opinion about TUM, KIT and RWTH Aachen is then?

I think it is logically not profound to speak for whole Germany.

Agreed. The term you are looking for is called pervasive computing. Moreover when the so called "connected devices" can be mobile, then we are speaking about ubiquitous computing. IoT is a way of utilising pervasive computing through the internet. Unfortunately the media and therefore the majority of the tech community has wrongly decided to use IoT for everything which results in a lot of misconceptions. Probably a marketing trick, who knows.

Decentralization, only by itself, does not imply privacy, agreed. However, it is a step towards it, in the sense of trust distribution.