User-centric resource allocation with two-dimensional reverse pricing in mobile communication services

Jinho Choi; Sang Yeob Jung; Seong Lyun Kim; Dong Min Kim; Petar Popovski

doi:10.1109/JCN.2019.000016

User-centric resource allocation with two-dimensional reverse pricing in mobile communication services

Jinho Choi, Sang Yeob Jung, Seong Lyun Kim, Dong Min Kim, Petar Popovski

Department of Electrical and Electronic Engineering

Research output: Contribution to journal › Article › peer-review

1 Citation (Scopus)

Abstract

Reverse pricing has been recognized as an effective tool to handle demand variability and uncertainty in the travel industry (e.g., airlines and hotels). To investigate its viability in mobile communication services, as a benchmark case, we first consider that a single mobile network operator (MNO) adopts (MNO-driven) forward pricing only, taking into account heterogeneous and stochastic user demands. To effectively deal with the drawbacks of forward pricing only, we propose (user-driven) two-dimensional reverse pricing on top of forward pricing and design a ξ-Approximate polynomial-Time algorithm that can maximize the revenue of the MNO. Through analytical and numerical results, we show that the proposed scheme can achieve 'triple-win' solutions: Higher average network capacity utilization, the increase in the average revenue of the MNO, and the increment in the total average payoff of the users. To verify its feasibility in practice, we further implement its real prototype and perform experimental studies. We show that the proposed scheme still creates triple-win solutions in practice. Our findings provide a new outlook on resource allocation, and design guidelines for adopting two-dimensional reverse pricing on top of forward pricing.

Original language	English
Article number	8718093
Pages (from-to)	148-157
Number of pages	10
Journal	Journal of Communications and Networks
Volume	21
Issue number	2
DOIs	https://doi.org/10.1109/JCN.2019.000016
Publication status	Published - 2019 Apr

Bibliographical note

Funding Information:
Manuscript received November 8, 2018; This paper is specially handled by EIC and Division Editor with the help of three anonymous reviewers in a fast manner. This research was supported by a grant to Bio-Mimetic Robot Research Center Funded by Defense Acquisition Program Administration, and by Agency for Defense Development (UD160027ID). J. Choi and S.-L. Kim are with School of Electrical and Electronic Engineering, Yonsei University, email:{jhchoi, slkim}@ramo.yonsei.ac.kr. S. Y. Jung is with Standards Research Team, Samsung Electronics, email: sangyeob.jung@gmail.com. D. M. Kim is with Department of Internet of Things, Soonchunhyang University, email: dmk@sch.ac.kr. P. Popovski is with Department of Electronic Systems, Aalborg University, email: petarp@es.aau.dk. S.-L. Kim is the corresponding author. Digital Object Identifier: 10.1109/JCN.2019.000016

Publisher Copyright:
© 2011 KICS.

All Science Journal Classification (ASJC) codes

Information Systems
Computer Networks and Communications

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10.1109/JCN.2019.000016

Cite this

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title = "User-centric resource allocation with two-dimensional reverse pricing in mobile communication services",

abstract = "Reverse pricing has been recognized as an effective tool to handle demand variability and uncertainty in the travel industry (e.g., airlines and hotels). To investigate its viability in mobile communication services, as a benchmark case, we first consider that a single mobile network operator (MNO) adopts (MNO-driven) forward pricing only, taking into account heterogeneous and stochastic user demands. To effectively deal with the drawbacks of forward pricing only, we propose (user-driven) two-dimensional reverse pricing on top of forward pricing and design a ξ-Approximate polynomial-Time algorithm that can maximize the revenue of the MNO. Through analytical and numerical results, we show that the proposed scheme can achieve 'triple-win' solutions: Higher average network capacity utilization, the increase in the average revenue of the MNO, and the increment in the total average payoff of the users. To verify its feasibility in practice, we further implement its real prototype and perform experimental studies. We show that the proposed scheme still creates triple-win solutions in practice. Our findings provide a new outlook on resource allocation, and design guidelines for adopting two-dimensional reverse pricing on top of forward pricing.",

author = "Jinho Choi and Jung, {Sang Yeob} and Kim, {Seong Lyun} and Kim, {Dong Min} and Petar Popovski",

note = "Funding Information: Manuscript received November 8, 2018; This paper is specially handled by EIC and Division Editor with the help of three anonymous reviewers in a fast manner. This research was supported by a grant to Bio-Mimetic Robot Research Center Funded by Defense Acquisition Program Administration, and by Agency for Defense Development (UD160027ID). J. Choi and S.-L. Kim are with School of Electrical and Electronic Engineering, Yonsei University, email:{jhchoi, slkim}@ramo.yonsei.ac.kr. S. Y. Jung is with Standards Research Team, Samsung Electronics, email: sangyeob.jung@gmail.com. D. M. Kim is with Department of Internet of Things, Soonchunhyang University, email: dmk@sch.ac.kr. P. Popovski is with Department of Electronic Systems, Aalborg University, email: petarp@es.aau.dk. S.-L. Kim is the corresponding author. Digital Object Identifier: 10.1109/JCN.2019.000016 Publisher Copyright: {\textcopyright} 2011 KICS.",

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N1 - Funding Information: Manuscript received November 8, 2018; This paper is specially handled by EIC and Division Editor with the help of three anonymous reviewers in a fast manner. This research was supported by a grant to Bio-Mimetic Robot Research Center Funded by Defense Acquisition Program Administration, and by Agency for Defense Development (UD160027ID). J. Choi and S.-L. Kim are with School of Electrical and Electronic Engineering, Yonsei University, email:{jhchoi, slkim}@ramo.yonsei.ac.kr. S. Y. Jung is with Standards Research Team, Samsung Electronics, email: sangyeob.jung@gmail.com. D. M. Kim is with Department of Internet of Things, Soonchunhyang University, email: dmk@sch.ac.kr. P. Popovski is with Department of Electronic Systems, Aalborg University, email: petarp@es.aau.dk. S.-L. Kim is the corresponding author. Digital Object Identifier: 10.1109/JCN.2019.000016 Publisher Copyright: © 2011 KICS.

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N2 - Reverse pricing has been recognized as an effective tool to handle demand variability and uncertainty in the travel industry (e.g., airlines and hotels). To investigate its viability in mobile communication services, as a benchmark case, we first consider that a single mobile network operator (MNO) adopts (MNO-driven) forward pricing only, taking into account heterogeneous and stochastic user demands. To effectively deal with the drawbacks of forward pricing only, we propose (user-driven) two-dimensional reverse pricing on top of forward pricing and design a ξ-Approximate polynomial-Time algorithm that can maximize the revenue of the MNO. Through analytical and numerical results, we show that the proposed scheme can achieve 'triple-win' solutions: Higher average network capacity utilization, the increase in the average revenue of the MNO, and the increment in the total average payoff of the users. To verify its feasibility in practice, we further implement its real prototype and perform experimental studies. We show that the proposed scheme still creates triple-win solutions in practice. Our findings provide a new outlook on resource allocation, and design guidelines for adopting two-dimensional reverse pricing on top of forward pricing.

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User-centric resource allocation with two-dimensional reverse pricing in mobile communication services

Abstract

Bibliographical note

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