Dell Technologies says it will invest $1 billion in research and development of IoT over the next three years and has set up a special division to integrate products and services across the company.

The new division will be run by current VMware CTO Ray O’Farrell. His first mission will be to develop IoT products and services throughout the company and develop new technologies.

Dell Technologies, which includes units such as Dell EMC, Pivotal, VMware and RSA, are already making use of some aspects of IoT.

For Dell, IoT represents a move toward distributed computing after the cloud largely centralised IT delivery. Dell is arguing that the need to boost intelligence and cut latency is creating a need for more innovative approaches.