6533b835fe1ef96bd129fdfb

RESEARCH PRODUCT

Revenue-Aware Resource Allocation in the Future Multi-Service IP Networks

Jyrki JoutsensaloTimo HämäläinenJian Zhang

subject

Service (business)Scheme (programming language)Computer sciencebusiness.industryNode (networking)Quality of serviceService providerPricing strategiesRevenueResource allocationbusinesscomputercomputer.programming_languageComputer network

description

In the future IP networks, a wide range of different service classes must be supported in a network node and different classes of customers will pay different prices for their used node resources based on their Service-Level-Agreements. In this paper, we link the resource allocation issue with pricing strategies and explore the problem of maximizing the revenue of service providers in a network node by optimally allocating a given amount of node resources among multiple service classes. Under the linear pricing strategy, the optimal resource allocation scheme is derived for the case that no firm Quality-of-Service (QoS) guarantees are required for all service classes, which can achieve the maximum revenue in a network node; moreover, the suboptimal allocation scheme is proposed for the case that all classes have their firm QoS (mean delay) requirements, which can satisfy those required QoS guarantees while still being able to achieve very high revenue close to the analytic maximum one.

https://doi.org/10.1007/0-387-23198-6_3