Dynamic pricing in cellular networks for QoS

Abstract

In this work in progress paper we describe dynamic pricing strategies for network quality of service (QoS) in cellular networks. Dynamic pricing policies allow the network operator to charge a cost per time unit depending on the availability of network resources; hence it regulates the arrival rate of calls of service to the network. This implies that network service requirements such as performance, availability, reliability, security, bandwidth, congestion, routing, stability, delays, etc are maintained at an optimum level. These are the parameters that define the network QoS both within the network and at the edge access points where customer services are offered, leading to significant improvement in the network management. We model demand for the network capacity as a function of the arrival rate, which in turn is a function of the service price. The aim of this project is to apply a three stage pricing scheme to cellular networks.