Communications - Scientific Letters of the University of Zilina 2001, 3(4):5-8 | DOI: 10.26552/com.C.2001.4.5-8

Evaluation of Pricing Strategies of Elastic Traffic on a Single Communication Link

Peter Fodor1, Adam Marquetant1
1 High Speed Networks Laboratory, Department of Telecommunications and Telematics, Budapest University of Technology and Economics, Hungary

The future integrated service networks supporting multiple traffic classes will require customized admission control and bandwidth sharing strategies, which meet the diverse needs of QoS (Quality of Service)-assured (stream) and best-effort (elastic) services. Recent research results indicate that it is meaningful to exercise call admission control (CAC) even for elastic (best-effort) traffic, because CAC algorithms provide a means to prevent e.g. TCP sessions from excessive throughput degradations [1], [2]. Based on a model of a single link introduced in [2], we evaluate different pricing strategies assigned to elastic calls by determining an optimal CAC using Markov Decision theory. We will show that optimizing CAC not only maximizes average revenue, but also improves blocking probability of high priority stream traffic and QoS of elastic traffic as long as appropriate pricing functions are applicable.

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Published: December 31, 2001  Show citation

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Fodor, P., & Marquetant, A. (2001). Evaluation of Pricing Strategies of Elastic Traffic on a Single Communication Link. Communications - Scientific Letters of the University of Zilina, 3(4), 5-8. doi: 10.26552/com.C.2001.4.5-8
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    References

    1. Rudesindo Núñez Quejia, Hans van den Berg, Michel Mandjes: Performance Evaluation of Strategies for Integration of Elastic and Stream Traffic
    2. G. Fodor, E. Nordstrom and S. Blaabjerg: Revenue Optimization and Fairness Control of Priced Guaranteed and Best Effort Services on an ATM Transmission Link, ICC'98, vol 3, pp. 1696-1705, Atlanta, GA, USA, 1998
    3. Henk C. Tijms: Stochastic Models - An Algorithmic Approach, John Wiley & Sons, Chichester, 1984
    4. Shigang Chen, Klara Nahrstedt: An Approach to Pricing and Resource Sharing for Available Bit Rate (ABR) Services, in Proceedings of Euro-Parallel and Distributed Systems Conference (Euro-PDS '98), Vienna, Austria, July 1998, pp.163-168

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