A Profit Maximization Scheme by Service-List Control for Multiple Class Services


IEICE TRANSACTIONS on Communications   Vol.E87-B    No.5    pp.1334-1345
Publication Date: 2004/05/01
Online ISSN: 
Print ISSN: 0916-8516
Type of Manuscript: PAPER
Category: Network
quality of services (QoS),  price,  users' choice,  profit,  

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Future IP networks will provide multi-class-services that have multiple levels of Quality of Services (QoS) at different prices. One of the issues for the network service provider (NSP) will be how to profit by providing them. This paper proposes a scheme that maximizes the profit of the NSP by controlling the service-list under the constraint of the available network resources. We introduce a model in which the users' selection from among the multiple classes is influenced not just by the price and QoS of one class, but the prices and QoS levels of all classes. In short, the user's selection involves a balance between the price and QoS levels of all classes. To model the users' class choice, we adopt discrete choice analysis; it can estimate the model parameters such that the model fits actual choice data. This paper proposes a functional framework that consists of User Choice Model Function, Original Demand Forecast Function, and Service-list Determination Function. The proposed model has the advantage of following actual changes adaptively. Effectiveness of the proposed scheme is evaluated by computer simulation for a multiple class service; even if the real parameters are changed, the proposal can follow the change and provide the optimal service-list that maximizes profit adaptively.