Differential join prices for parallel queues: social optimality, dynamic pricing algorithms and application to Internet pricing

Dube, Parijat; Borkar, Vivek S.; Manjunath, D.

doi:10.1109/infcom.2002.1019269

Cited by 21 publications

(19 citation statements)

References 11 publications

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“…As directions for future research, we are interested in trying to carry out the same kind of analysis for the round-robin scheme of [10] (to tackle the problem of revenue maximization). Also, the case of strict QoS requirements could be investigated.…”

Section: Discussionmentioning

confidence: 99%

“…Note that, according to (10), λ (k) decreases continuously when p tot increases, so that λ = K k=1 λ (k) decreases continuously when p tot increases.…”

Section: A Multi-application Extensionmentioning

confidence: 99%

“…Note also that in [10], PMP has been adapted in such a way that, instead of logically separating the subnetworks, a round-robin service discipline is used to share the bandwidth among them. This "improved" version of PMP, even though it deserves attention, is not considered here.…”

Section: Introductionmentioning

confidence: 99%

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A mathematical model of the Paris Metro Pricing scheme for charging packet networks

Ros

Tuffin

2004

Computer Networks

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Pricing has become one of the main challenges of the networking community and is receiving a great deal of interest in the literature. In this paper, we analyze the so-called Paris Metro Pricing scheme which separates the network into different and independent subnetworks, each behaving equivalently, except that they charge their customers at different rates. In our model, each subnetwork is represented by a single bottleneck queue, and the "customers" (data packets) choose their subnetwork taking into account not only the prices, but also the expected delay, which is supposed to have an economic impact. We obtain some necessary and sufficient conditions for the stability of the system; we analyze the problem of maximizing the network revenue and compare it with the case of a single network, and present several extensions of the model. Numerical results illustrating some key aspects of the system are provided throughout the paper.

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Section: Discussionmentioning

confidence: 99%

“…Note that, according to (10), λ (k) decreases continuously when p tot increases, so that λ = K k=1 λ (k) decreases continuously when p tot increases.…”

Section: A Multi-application Extensionmentioning

confidence: 99%

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A mathematical model of the Paris Metro Pricing scheme for charging packet networks

Ros

Tuffin

2004

Computer Networks

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“…However, one can argue that there is interest in offering some form of differentiated services (like LBE) to elastic flows only if congestion may arise. Hence, for modelling purposes it makes sense to consider a network under the assumption of a heavy-traffic regime, as in [12]. In such a case, a two-queue GPS server behaves approximately like a "partitioned" server, that is, two independent FIFO queues, each with a service rate equal to the corresponding minimum guaranteed rate in the GPS system.…”

Section: B Marking Scheduling and Pricingmentioning

confidence: 99%

Less-than-best-effort services: pricing and scheduling

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Abstract-In recent years, the notion of a service offering a degraded performance with respect to the besteffort service traditionally found in IP networks has gained acceptance among network researchers. Such a less-thanbest-effort (LBE) service may be considered as another way of providing a differentiated quality of service, following A. Odlyzko's "damaged goods for the Internet" approach. In this paper we are interested in evaluating, from a pricing perspective, the implications of the two scheduling models commonly proposed for building a LBE service-namely, Priority Queueing and Generalized Processor Sharing (GPS). In particular, we focus on the network operator's issue of maximizing her revenue. We wish to study, for each scheduler, how to set prices and, especially, the impact that a given queueing model may have on revenues when users are mostly sensitive to delay. Drawing on previous work by Mandjes (2003), we present analytical expressions of the revenue earned by the network operator, when a GPS scheduler is used. A comparison of optimal revenues shows that: (a) Priority Queueing is more efficient, in economic terms, than both a GPS scheduler and a simple FIFO queue, that is, a network with no service differentiation; (b) revenues are lower with a GPS scheduler than with a FIFO queue. These results may have implications both on the practical implementation of LBE services and on the Paris Metro Pricing proposal by Odlyzko (1999).

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“…Queue i is allocated a weight w i and at any time it will receive service at rate µ i = w i µ/( j:Queue j is non-empty w j ). Such a JMCQ is identical to the Tirupati model defined in [8] and we will refer to it as such. We will say that the JMCQ is balanced if the capacity is divided equally among all the queues.…”

Section: Jmcq With Multiclass Customersmentioning

confidence: 99%