The Pricing of Services in ATM Networks
Project Award Date: 01-01-1997
While a great deal of research has been carried out in the last few years on traffic management and traffic models for ATM networks, the issue of pricing remains largely unexplored. The pricing structure affects not only revenue, but customer behavior, statistical multiplexing capabilities and, ultimately, network performance.
We wish to study desirable pricing sturctures for commercial ATM networks, taking into account
a. customer's decision-making process;
b. economic efficiency requirements (maximizing network provider and customer benefits).
Customer's decision process consists of finding, at any given time, the service that optimizes their individual cost/benefit relationship. Network providers, on the other hand, must take into account the staisfaction of all users, as well as fairness, network performance, and overall revenue when deciding which pricing structure to implement. While at times these may be conflicting objectives, pricing can be used as a way to encourage users to exibit behavior that is beneficial to the network as a whole. The ultimate goal is to identify properties of a pricing structure for a commercial ATM network which best achieves the objectives of the network provider, as well as customer's goals.
Faculty Investigator(s): David Petr (PI)
Primary Sponsor(s): Sprint Corp