Top

NETNOMICS: Economic Research and Electronic Networking

Published in:

22-10-2020

Media delivery competition with edge cloud, remote cloud and networking

Authors: Xinyi Hu, George Kesidis, Behdad Heidarpour, Zbigniew Dziong

Published in: NETNOMICS: Economic Research and Electronic Networking | Issue 1-3/2020

Activate our intelligent search to find suitable subject content or patents.

search-config

AI-assisted search

Off

Abstract

We describe a marketplace for content (digital media) distribution, specifically stored-video streaming, involving both edge cloud (fog) and remote cloud-computing and storage resources. Three different types of competing participants are considered: providers that are affiliated with the remote cloud, those that are affiliated with the ISP/edge, and those affiliated with neither. For a simple model, we explore the existence of a Nash equilibrium. Furthermore, we formulate a leader-follower game involving a market regulator maximizing social welfare and study its Stackelberg equilibrium. For a market regulator seeking to limit prices charged by an edge-cloud entrant, we show an interesting trade-off between “moderate” edge-cloud prices and the existence of a follower (Nash) equilibrium.

previous article Do digital governments foster economic growth in the developing world? An empirical analysis

next article Unobserved preferences and dynamic platform pricing under positive network externality

Dont have a licence yet? Then find out more about our products and how to get one now:

Springer Professional "Wirtschaft"

Online-Abonnement

Mit Springer Professional "Wirtschaft" erhalten Sie Zugriff auf:

über 67.000 Bücher
über 340 Zeitschriften

aus folgenden Fachgebieten:

Bauwesen + Immobilien
Business IT + Informatik
Finance + Banking
Management + Führung
Marketing + Vertrieb
Versicherung + Risiko

Jetzt Wissensvorsprung sichern!

inform now

Springer Professional "Wirtschaft+Technik"

Online-Abonnement

Mit Springer Professional "Wirtschaft+Technik" erhalten Sie Zugriff auf:

über 102.000 Bücher
über 537 Zeitschriften

aus folgenden Fachgebieten:

Automobil + Motoren
Bauwesen + Immobilien
Business IT + Informatik
Elektrotechnik + Elektronik
Energie + Nachhaltigkeit
Finance + Banking
Management + Führung
Marketing + Vertrieb
Maschinenbau + Werkstoffe
Versicherung + Risiko

Jetzt Wissensvorsprung sichern!

inform now

Springer Professional "Technik"

Online-Abonnement

Mit Springer Professional "Technik" erhalten Sie Zugriff auf:

über 67.000 Bücher
über 390 Zeitschriften

aus folgenden Fachgebieten:

Automobil + Motoren
Bauwesen + Immobilien
Business IT + Informatik
Elektrotechnik + Elektronik
Energie + Nachhaltigkeit
Maschinenbau + Werkstoffe

Jetzt Wissensvorsprung sichern!

inform now

Network neutrality regulations were suspended by the FCC in the United States from 2015 to 2018. They are may be fully reinstated in near-future court rulings or through elections bringing different political parties to power [13, 27].

ISPs have pruned ads from delivered content arguing that they were not requested by the end-users [17], while CPs argued that (otherwise free) content or services are monetized through embedded advertisements, the receipt of which end-users implicitly request.

Here, ISPs that service end-users.

Netflix now uses AWS primarily for client login and content search/selection. To stream selected videos, Netflix now employs its own CDN.

Note that CDNs like Akamai and Amazon CloudFront provide datacenter presence nearer to the network edge.

This transformation may be due to the ease through which media from legitimate sources can be purchased online, new and very popular content only available as streamed online, and the presence of trojans in pirated media.

Note that LRU approximates as the least popular object the current LRU one residing in the cache. Evicting the least popular object is an element of the optimal noncausal (offline) caching policy, e.g., [20].

Again, Netflix has developed its own CDN and currently only uses public cloud facilities for its user interface. So, compared to this type of provider, it would have reduced remote cloud and networking costs, and may not need edge-cloud facilities depending on how extensive its CDN is, but would have significant operating and amortized capital expenditures associated with its CDN.

More complex models of inertia involve hysteresis in dynamic response to competitive prices wherein demand as a function of price is larger when prices increase compared to when prices decrease.

Numerical results are qualitatively the same for much larger values of X, e.g.,X = 10⁶.

Adler, M., Sitaraman, R.K., & Venkataraman, H. (2011). Algorithms for optimizing the bandwidth cost of content delivery. Computer Networks, 55(18), 4007–4020.CrossRef

Agyapong, P., & Sirbu, M. (2011). Economic incentives in content-centric networking: Implications for protocol design and public policy, Arlington.

Amazon CloudFront Pricing. https://aws.amazon.com/cloudfront/pricing/?p=ps.

AWS Lambda Pricing. https://aws.amazon.com/lambda/pricing.

Basar, T., & Olsder, G.J. (1995). Dynamic noncooperative game theory, 2nd edn. Cambridge: Academic Press.

Baye, M. R., Tian, G., & Zhou, J. (1993). Characterizations of the existence of equilibria in games with discontinuous and non-quasiconcave payoffs. Review of Economic Studies, 60(4), 935–948.CrossRef

Berners-Lee, T. (2006). Net Neutrality: This is serious. TimBL’s blog. http://dig.csail.mit.edu/breadcrumbs/node/144.

Drazek, L.C. (2013). Intensity estimation for Poisson processes. MS Thesis, School of Mathematics, University of Leeds. https://www1.maths.leeds.ac.uk/~voss/projects/2012-Poisson/Drazek.pdf.

Economides, N., & Hermalin, B. (2013). The strategic use of download limits by a monopoly platform. Working Paper 13-26. http://www.NETinst.org.

10.

Fudenberg, D., & Tirole, J. (1991). Game theory. Cambridge: MIT press.

11.

Hahn, R., & Wallsten, S. (2006). The economics of net neutrality. Economists’ Voice, The Berkeley Economic Press, 3(6), 1–7.

12.

Hande, P., Chiang, M., Calderbank, R., & Rangan, S. (2009). Network pricing and rate allocation with content provider participation. In Proceedings of IEEE INFOCOM (pp. 990–998).

13.

Herreria, C. (2018). 22 States Sue FCC For Axing Net Neutrality. https://www.huffingtonpost.com/entry/attorneys-general-sue-fcc-net-neutrality_us_5a5e84c3e4b00a7f171b815a.

14.

Hu, X., Kesidis, G., Heidarpour, B., & Dziong, Z. (2018). Media delivery competition with edge cloud, remote cloud and networking. In Proceedings of Network Games, Control, and Optimization (NETGCOOP) Conference (pp. 71–87). Brooklyn.

15.

Jelenković, P.R. (1999). Asymptotic approximation of the move-to-front search cost distribution and least-recently-used caching fault probabilities. Annals of Applied Probability, 9(2), 430–464.CrossRef

16.

Johari, R., Weintraub, G.Y., & Van Roy, B. (2010). Investment and market structure in industries with congestion. Operations Research 58(5): 1303–1317.

17.

Kerr, D. (2013). France orders Internet provider to stop blocking Google ads. http://news.cnet.com/8301-1023_3-57562638-93/france-orders-internet-provider-to-stop-blocking-google-ads.

18.

Kesidis, G. (2014). A simple two-sided market model with side-payments and ISP service classes. In Proceedings of IEEE INFOCOM Workshop on Smart Data Pricing. Toronto (pp. 595–597).

19.

Kesidis, G., Nasiriani, N., Urgaonkar, B., & Wang, C. (2016). Neutrality in Future Public Clouds: Implications and Challenges. In Proceedings of USENIX HotCloud, 6 pages.

20.

Knuth, D.E. (1985). An analysis of optimal caching. J. Algorithms, 6, 181–199.CrossRef

21.

Kocak, F., Kesidis, G., & Fdida, S. (2013). Network neutrality with content caching and its effect on access pricing. In Sen, S., & Chiang, M. (Eds.) Smart Data Pricing (pp. 47–66). Wiley.

22.

Ma, R.T.B., Chiu, D.-M., Lui, J.C.S., Misra, V., & Rubenstein, D. (2008). Interconnecting eyeballs to content: A Shapley value perspective on ISP peering and settlement. In Proceedings of Int’l Workshop on Economics of Networked Systems (pp. 61–66).

23.

Ma, R.T.B., Chiu, D.-M., Lui, J.C.S., Misra, V., & Rubenstein, D. (2011). On cooperative settlement between content, transit and eyeball Internet service providers. IEEE/ACM Transactions on Networking, 19(3), 802–815. https://doi.org/10.1109/TNET.2010.2089533.CrossRef

24.

Maggs, B. (2013). Presentation on CDNs (Akamai) at RESCOM, Porquerolles, France: http://blog.lrem.net/2013/05/23/rescom-2013-bruce-maggs/.

25.

Maillé, P., & Tuffin, B. (2017). Preventing competition using side payments: when non-neutrality creates barriers to entry. NETNOMICS: Economic Research and Electronic Networking, 18(1), 3–22. https://doi.org/10.1007/s11066-016-9110-6.

26.

Musacchio, J., Schwartz, G., & Walrand, J. (2009). A two-sided market analysis of provider investment incentives with an application to the net-neutrality issue. Review of Network Economics, 8(1), 22–39.

27.

Reardon, M. (2019). Net neutrality battle heats up on Capitol Hill: What you need to know. https://www.cnet.com/news/net-neutrality-battle-heats-up-on-capitol-hill-what-you-need-to-know/.

28.

Reny, P.J. (2016). Nash equilibrium in discontinuous games. Econ. Theory, 61, 553–569.CrossRef

29.

Saraydar, C.U., Mandayam, N.B., & Goodman, D.J. (2002). Efficient power control via pricing in wireless data networks. IEEE Transactions on Communications, 50(2), 291–303.CrossRef

30.

Sohn, D. (2008). Neutrality and Caching. Center for Democracy & Technology Washington DC.https://cdt.org/blog/neutrality-and-caching/.

31.

Watson, G.S. (1977). Estimating the intensity of a Poisson process. Technical Report No. 131, Series 2, Department of Statistics, Princeton University, available at https://apps.dtic.mil/dtic/tr/fulltext/u2/a049689.pdf.

32.

Weller, D., & Woodcock, B. (2013). Bandwidth bottleneck: The hardware at the heart of the Internet is not fast enough. IEEE Spectrum, 50(1), 80–80. https://doi.org/10.1109/MSPEC.2013.6395331.CrossRef

33.

Wu, T. (2003). Network neutrality, broadband discrimination. Journal of Telecommunications and High Technology Law, 2, 141.

Title: Media delivery competition with edge cloud, remote cloud and networking
Authors: Xinyi Hu
George Kesidis
Behdad Heidarpour
Zbigniew Dziong
Publication date: 22-10-2020
Publisher: Springer US
Published in: NETNOMICS: Economic Research and Electronic Networking / Issue 1-3/2020
Print ISSN: 1385-9587
Electronic ISSN: 1573-7071
DOI: https://doi.org/10.1007/s11066-020-09139-3

Springer Professional

Abstract

Please log in to get access to your license.

Dont have a licence yet? Then find out more about our products and how to get one now:

Springer Professional "Wirtschaft"

Springer Professional "Wirtschaft+Technik"

Springer Professional "Technik"

Other articles of this Issue 1-3/2020

Technoeconomic analysis of a VDSL2/G.fast vectoring network: a case study from Greece

Unobserved preferences and dynamic platform pricing under positive network externality

An assessment of the impact of digital technology adoption on economic growth and labour productivity in Nigeria

IPR policies and determinants of membership in Standard Setting Organizations: a social network analysis

How ICT affects economic growth in the Euro area during the economic crisis

Do digital governments foster economic growth in the developing world? An empirical analysis

Premium Partner