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Volume 27 Issue 9
Sep.  2005
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Wang YuFeng, Wang WenDong, Cheng ShiDuan. On Revenue-Maximized Pricing for WCDMA Networks Based on Stackelberg Game[J]. Journal of Electronics & Information Technology, 2005, 27(9): 1488-1492.
Citation: Wang YuFeng, Wang WenDong, Cheng ShiDuan. On Revenue-Maximized Pricing for WCDMA Networks Based on Stackelberg Game[J]. Journal of Electronics & Information Technology, 2005, 27(9): 1488-1492.

On Revenue-Maximized Pricing for WCDMA Networks Based on Stackelberg Game

  • Received Date: 2004-03-03
  • Rev Recd Date: 2005-06-15
  • Publish Date: 2005-09-19
  • The problem that how to set the price to maximize revenue in WCDMA networks is investigated in this paper. Instead of adopting congestion pricing mechanism, this paper imposes fixed usage price on throughput of each user, which is assumed to be the function of network congestion and usage cost. Based on above assumptions, the net utility functions of users are provided and Stackelberg game is adopted to model the interaction between network and users. That is, network sets the price to maximize revenue, and in response to the price, users maximize their net utility functions to achieve equilibriums. The paper provides the quantitative relation between revenue and the number of admitted users, and infers that although, technically speaking, network can increase system capacity to admit more users through decreasing transmission rate of users, the network has no incentive to adopt this policy. Conversely, network has the incentive to pert'arm congestion control.
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  • Kelly F P, Maulloo A, Tan D. Rate control for communication networks: shadow prices, proportional fairness and stability, J..Oper. Res. Soc., 1998, 49(3): 237 - 252.[2]La R J, Anantharam V. Utility-based rate control in the Internet for elastic traffic[J].IEEE Trans. on Networking.2002, 10(2):272-[3]Bouhtou M, Diallo M, Wynter L. Fair resource allocation and pricing: a numerical study. http:∥www. prism.uvsq. fr/~wynter/RESEARCH/fair-pricing.ps.[4]Wynter L. Optimizing proportionally fair prices. http:∥www.prism. uvsq.fr/~wynter/RESEARCH/PFPuniq ueness. ps.[5]Altman E. Capacity of multi-service cellular networks with transmission-rate control: a queuing analysis. In Proc. of ACM MOBICOM, Atlanta, Georgia, USA, 2002:205 - 214.Sirts V A. Resource control for elastic traffic in CDMA networks,In Prof. of ACM MOBICOM, Atlanta, Georgia, USA, 2002:193 - 204.[6]Hegde N, Altman E. Capacity of multiservice WCDMA networks with variable QoS. In Proc. of IEEE WCNC, New Orleans USA,2003, (2): 1402 - 1407.[7]Altman E, Wynter L. Equilibrium, games, and pricing in transportation and telecommunications networks. http:∥www-sop.inria.fr/mistral/personnel/Eitan. Altman/PAPERS/laura.ps.[8]Altman E, Boulogne T, Azouzi R, Jimenez T, Wynter L. A survey on networking games. http:∥www-sop.inria.fr/mistral/ personnel/Eitan. AItman/PAPERS/srvgm.ps.[9]Basar T, Srikant B. Revenue-maximizing pricing and capacity expansion in a many-users regime. In Proc. of IEEE INFOCOM,New York, USA, 2002, (1): 294 - 301.[10]梁小民著.经济学是什么.北京:北京大学出版社,2001:43-46.[11]Bertsekas D. Nonlinear Programming. Belmont, MA: Athena Scientific, 1999:353 - 358.
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