NDLI: A simulation study of usage-based pricing strategies for packet-switched networks

Content Provider	IEEE Xplore Digital Library
Author	Breker, L.P. Williamson, C.L.
Copyright Year	1996
Description	Author affiliation: Dept. of Comput. Sci., Saskatchewan Univ., Saskatoon, Sask., Canada (Breker, L.P.)
Abstract	This paper presents a simulation study of two proposed usage-based pricing strategies (one static, one dynamic) for computer networks. In the static pricing strategy evaluated, a price per packet is assigned and held constant over time. Results from the static strategy simulations show that network utilization decreases as the price per packet increases. Revenue, on the other hand, first increases and then falls as the price per packet increases. In the dynamic pricing strategy simulations, the price varies over time as a result of the user demand for bandwidth. As the number of users on the network increases, the price per unit of bandwidth increases. While the behaviour of the dynamic pricing scheme makes it appear promising as a pricing framework for packet-switched networks, further work is clearly required to better address the tradeoffs between network utilization, revenue, and network efficiency.
Starting Page	278
Ending Page	288
File Size	1090442
Page Count	11
File Format	PDF
ISBN	0818676175
ISSN	07421303
DOI	10.1109/LCN.1996.558156
Language	English
Publisher	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Publisher Date	1996-10-13
Publisher Place	USA
Access Restriction	Subscribed
Rights Holder	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Subject Keyword	Pricing Costs Computer networks Bandwidth Computational modeling Packet switching Telecommunication switching IP networks Web and internet services Government
Content Type	Text
Resource Type	Article

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