TY - JOUR
T1 - Auction-based network selection in a market-based framework for trading wireless communications services
AU - Konka, Jakub
AU - Andonovic, Ivan
AU - Michie, Walter
AU - Atkinson, Robert
N1 - © 2013 IEEE. Personal use of this material is permitted. Permission from IEEE must be obtained for all other uses, in any current or future media, including reprinting /republishing this material for advertising or promotional purposes, creating new collective works, for resale or redistribution to servers or lists, or reuse of any copyrighted component of this work in other works.
PY - 2014/3/31
Y1 - 2014/3/31
N2 - Digital Marketplace is a market-based framework in which a network selection mechanism is facilitated through a variant of procurement first-price sealed-bid auction; that is, wireless network operators bid for the right to transport the subscriber’s requested service over their infrastructure. In this paper, we create an economic model of this mechanism, and characterize the equilibrium under generic assumptions about the costs distributions of the network operators. Furthermore, the equilibrium is explicitly derived under more specific assumptions about the model; that is, two network operators and costs drawn from uniform distributions. In this case, we also characterize the expected prices the subscriber has to pay depending on their preferences about the service; for example, trading off quality for a lower price. Finally, we provide a numerical analysis of the case with more than two network operators.
AB - Digital Marketplace is a market-based framework in which a network selection mechanism is facilitated through a variant of procurement first-price sealed-bid auction; that is, wireless network operators bid for the right to transport the subscriber’s requested service over their infrastructure. In this paper, we create an economic model of this mechanism, and characterize the equilibrium under generic assumptions about the costs distributions of the network operators. Furthermore, the equilibrium is explicitly derived under more specific assumptions about the model; that is, two network operators and costs drawn from uniform distributions. In this case, we also characterize the expected prices the subscriber has to pay depending on their preferences about the service; for example, trading off quality for a lower price. Finally, we provide a numerical analysis of the case with more than two network operators.
KW - network selection
KW - market-based framework
KW - wireless communications service
KW - trading
KW - auction-based
U2 - 10.1109/TVT.2013.2280344
DO - 10.1109/TVT.2013.2280344
M3 - Article
SN - 0018-9545
VL - 63
SP - 1365
EP - 1377
JO - IEEE Transactions on Vehicular Technology
JF - IEEE Transactions on Vehicular Technology
IS - 3
ER -
