Priority Pricing for Efficient Resource Usage of Mobile Internet Access

Radio-frequency spectrum resources are finite and scarce, but their demand is increasing exponentially every year. Therefore, wireless network resources are too expensive to be wasted. To avoid waste, pricing techniques can efficiently control resource usage and manage user needs in networks. This study focuses on QoS-aware pricing for usage-based mobile Internet access charging. Specifically, I propose a heuristic algorithm for priority pricing with multiple service levels. The proposed algorithm is built on top of the existing equilibrium analysis methods. While being extensively studied for optimal price selection, the equilibrium methods make a few unrealistic assumptions, and so my methods adjust the solutions of the equilibrium methods to account for distortions that the real world creates. The evaluation results indicate that multiple equilibrium prices may exist, and the proposed scheme produces a pricing plan that is substantially more effective than existing equilibrium methods.

Ökonomische Grundlagen des Wettbewerbs im Internet

The main internet problem is how to deal with temporary overload, which negatively affects quality-sensitive high value services while others do not suffer. Capacity overprovisioning als well as volume tariffs will not be efficient. The optimal solution is the application of priority pricing, where higher prices are paid for higher qualities. This is economically superior to network management as well as to strict net neutrality.