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On Aggregate Utility Maximization by Greedy ASs Competing to Provide Internet Services

Published

Author(s)

Vladimir V. Marbukh, R E. Van Dyck

Abstract

We consider the effect of competition between N greedy autonomous systems (ASs) on pricing and availability ofInternet services to elastic users. The problem is formalized as a non-cooperative game, where the autonomous systems attempt to maximize their profits by adjusting prices and bandwidths. For the particular case of alternative routes owned by different ASs, we present an explicit solution that gives the optimal capacities and prices, as well as the corresponding utilities. As the number of ASs increases, this competitive equilibrium approaches the social welfare optimal equilibrium, which maximizes the aggregate utility.
Proceedings Title
Proceedings 42nd Annual Allerton Conference on Communications, Control, and Computing
Conference Dates
September 29-October 1, 2004
Conference Title
Allerton Conference on Communication Control, and Computing

Keywords

capacity optimization, game theory, internet, pricing

Citation

Marbukh, V. and Van, R. (2004), On Aggregate Utility Maximization by Greedy ASs Competing to Provide Internet Services, Proceedings 42nd Annual Allerton Conference on Communications, Control, and Computing (Accessed April 26, 2024)
Created September 29, 2004, Updated February 19, 2017