Advertisement

Information Systems Frontiers

, Volume 19, Issue 4, pp 803–818 | Cite as

A game-theoretic evaluation of an ISP business model in caching

  • Jörn Künsemöller
  • Nan Zhang
  • Kimmo Berg
  • João Soares
Article
  • 254 Downloads

Abstract

Internet traffic volume is increasing and this causes scalability issues in content delivery. This problem can be addressed with different types of caching solutions. The incentives of different stakeholders to pay for these solutions are not known. However, it has been identified that Internet service providers (ISPs) need to be involved in the process of cache deployment due to their ownership of the network. This work evaluates a new business model where ISPs charge content providers (CPs) for a caching service because CPs benefit from more efficient content distribution. We provide conditions for sustainable paid in-network caching and their numerical evaluation in order to aid strategic decision-making by CPs, ISPs, and Cloud storage providers (CSPs). Although ISP caching as a paid service may not be an equilibrium, it turns out to be Pareto optimal at the right pricing. This encourages cooperation between CPs and ISPs. CSPs may choose cache friendly physical locations for their facilities in order to provide the necessary capacity to the ISPs. However, the required amounts are in all likelihood too small to be an incentive for the CSPs. ISP caching as a paid service can be an equilibrium when future benefits are considered and when the ISPs terminate caching-related improvements of service quality for clients who do not pay for caching.

Keywords

Caching Business model Cloud storage Content distribution 

References

  1. Abreu, D. (1988). On the theory of infinitely repeated games with discounting. Econometrica, 56(2), 383–396.CrossRefGoogle Scholar
  2. Ahlgren, B., Dannewitz, C., Imbrenda, C., Kutscher, D., & Ohlman, B. (2012). A survey of information-centric networking. IEEE Communications Magazine, 50(7), 26–36.CrossRefGoogle Scholar
  3. Akamai (2015). Aura licensed cdn (lcdn). https://www.akamai.com/us/en/solutions/products/network-operator/. Accessed on Dec 1st 2015.
  4. Akamai (2015). Customer stories: Mtv networks. https://www.akamai.com/us/en/our-customers/customer-stories-mtv-networks.jsp. Accessed Dec 1st 2015.
  5. Akamai (2015). Peering networks detailed view. http://www.peeringdb.com/view.php?asn=20940, Accessed Dec 1st 2015.
  6. Armbrust, M., Fox, A., Griffith, R., Joseph, A., Katz, R., Konwinski, A., Lee, G., Patterson, D., Rabkin, A., Stoica, I., & Zaharia, M. (2010). A view of cloud computing. Communications of the ACM, 53(4), 50–58.CrossRefGoogle Scholar
  7. AT&T (2015). Content delivery and digital media services. http://www.business.att.com/enterprise/Portfolio/content-delivery/. Accessed Feb 16th 2015.
  8. AWS. (2015). Amazon s3 pricing. http://aws.amazon.com/s3/pricing/. Accessed on June 29th 2015.
  9. Barish, G., & Obraczka, K. (2000). World wide web caching: Trends and techniques. IEEE Communications Magazine, 38, 178– 184.CrossRefGoogle Scholar
  10. Berg, K., & Kitti, M. (2013). Computing equilibria in discounted 2×2 supergames. Computational Economics, 41, 71–78.CrossRefGoogle Scholar
  11. Berg, K., & Kitti, M. (2014). Equilibrium paths in discounted supergames. http://econpapers.repec.org/paper/tkkdpaper/dp96.htm. Work in progress.
  12. Carofiglio, G., Morabito, G., Muscariello, L., Solis, I., & Varvello, M. (2013). From content delivery today to information centric networking. Computer Networks, 57(16), 3116–3127.CrossRefGoogle Scholar
  13. Chen, Y., Katz, R.H., & Kubiatowicz, J. (2002). Dynamic replica placement for scalable content delivery. In Druschel, P., Kaashoek, F., & Rowstron, A. (Eds.) Peer-to-Peer Systems, (Vol. 2429 pp. 306–318). Berlin: Springer. http://link.springer.com/chapter/10.1007.
  14. Cho, K., Jung, H., Lee, M., Ko, D., Kwon, T.T., & Choi, Y. (2011). How can an isp merge with a cdn IEEE Communications Magazine, 49(10), 156–162.CrossRefGoogle Scholar
  15. Cisco (2014). Cisco global cloud index: Forecast and methodology, 2013–2018. http://www.cisco.com/c/en/us/solutions/collateral/service-provider/global-cloud-index-gci/Cloud_Index_White_Paper.pdf. Accessed on June 29th 2015.
  16. Cisco (2015). Cisco visual networking index: Forecast and methodology, 2014–2019. http://www.cisco.com/c/en/us/solutions/collateral/service-provider/ip-ngn-ip-next-generation-network/white_paper_c11-481360.pdf. Accessed on June 29th 2015.
  17. Costa-Requena, J., Kimmerlin, M., Manner, J., & Kantola, R. (2014). Sdn optimized caching in lte mobile networks. In 2014 International Conference on Information and Communication Technology Convergence (pp. 128–132). South Korea: Busan.Google Scholar
  18. Dán, G. (2011). Cache-to-cache: Could isps cooperate to decrease peer-to-peer content distribution costs IEEE Transactions on Parallel and Distributed Systems, 22(9), 1469–1482.CrossRefGoogle Scholar
  19. Dilley, J., Maggs, B., Parikh, J., Prokop, H., Sitaraman, R., & Weihl, B. (2002). Globally distributed content delivery. IEEE Internet Computing, 6(5), 50–58.CrossRefGoogle Scholar
  20. DiPalantino, D., & Johari, R. (2012). Traffic engineering with semiautonomous users: A game-theoretic perspective. IEEE/ACM Transactions on Networking, 20(6), 1938–1949.CrossRefGoogle Scholar
  21. Faratin, P. (2007). Economics of overlay networks: An industrial organization perspective on network economics. In Proceedings of the Joint Workshop on The Economics of Networked Systems and Incentive Based Computing (NetEcon+IBC), in conjuction with ACM Conference on Electronic Commerce (EC’07).Google Scholar
  22. Faratin, P., Clark, D., Bauer, S., & Lehr, W. (2008). The growing complexity of internet interconnection. Communications & Strategies, 72, 51–71.Google Scholar
  23. Fitchard, K (2012). Forget the cdn players, netflix is caching its own video. http://gigaom.com/video/forget-the-cdn-players-netflix-is-caching-its-own-video/.
  24. Frank, B., Poese, I., Lin, Y., Smaragdakis, G., Feldmann, A., Maggs, B., Rake, J., Uhlig, S., & Weber, R. (2013). Pushing cdn-isp collaboration to the limit. SIGCOMM Comput. Commun. Rev., 43(3), 34–44. doi: 10.1145/2500098.2500103.CrossRefGoogle Scholar
  25. Fudenberg, D., & Tirole, J. (1991). Game Theory: MIT Press.Google Scholar
  26. Google (2015). Google caching overview. https://peering.google.com/about/ggc.html. Accessed on Feb 16th 2015.
  27. Grove, N., Agic, D., & Sedlmeir, J. (2013). Reporting policies of isps: Do general terms and conditions (gtcs) match with the reality?. In TPRC 41: The 41st Research Conference on Communication, Information and Internet Policy.Google Scholar
  28. Hamilton, J. (2010). Cloud computing economies of scale. http://channel9.msdn.com/events/MIX/MIX10/EX01/. MIX’10 talk.
  29. Hassan, M.M., Hossain, M., Sarkar, A., & Huh, E.N. (2014). Cooperative game-based distributed resource allocation in horizontal dynamic cloud federation platform. Information Systems Frontiers, 16(4), 523–542. doi: 10.1007/s10796-012-9357-x.CrossRefGoogle Scholar
  30. Jiang, W., Zhang-Shen, R., Rexford, J., & Chiang, M. (2009). Cooperative content distribution and traffic engineering in an isp network. ACM SIGMETRICS Performance Evaluation Review - SIGMETRICS ’09 pp. 239–250. doi: 10.1145/1555349.1555377.
  31. Katsaros, K., Xylomenos, G., & Polyzos, G.C. (2011). Multicache: An overlay architecture for information-centric networking. Computer Networks, 55(4), 936–947.CrossRefGoogle Scholar
  32. Khare, V., & Zhang, B. (2011). Making cdn and isp routings symbiotic. In Proceedings of the 2011 31st International Conference on Distributed Computing Systems, ICDCS ’11. 869–878. IEEE Computer Society, Washington, DC, USA.Google Scholar
  33. Kimmerlin, M., Costa-requena, J., & Manner, J. (2014). Caching using software-defined networking in lte networks. In Proceedings of IEEE International Conference on Advanced Networks and Telecommunications Systems.Google Scholar
  34. Künsemöller, J., Zhang, N., & Soares, J. (2013). Isp business models in caching. In Proceedings of the 29th International Conference on Data Engineering, Workshops (ICDEW 2013) (pp. 279–285).Google Scholar
  35. Labovitz, C., Iekel-Johnson, S., McPherson, D., Oberheide, J., & Jahanian, F. (2010). Internet inter-domain traffic. ACM SIGCOMM Computer Communication Review, 40(4), 75–86.CrossRefGoogle Scholar
  36. Lee, S., Jiang, J., Chiu, D.M., & Lui, J. (2008). Interaction of isps: Distributed resource allocation and revenue maximization. IEEE Transactions on Parallel and Distributed Systems, 19(2), 204–218. doi: 10.1109/TPDS.2007.70714.CrossRefGoogle Scholar
  37. Level3 (2010). News archive: Level3 releases statement to clarify issues in comcast/level3 interconnection dispute. http://news.level3.com/index.php?s=23600&item=65047. Accessed Dec 1st 2015.
  38. Netflix (2015). Netflix open connect content delivery for isps. https://openconnect.itp.netflix.com/deliveryOptions/index.html. Accessed Dec 1st 2015.
  39. Norton, W.B. (2010). Internet transit prices - historical and projected http://drpeering.net/white-papers/Internet-Transit-Pricing-Historical-And-Projected.php.
  40. Norton, W.B. (2014). The 2014 Internet Peering Playbook: Connecting to the Core of the Internet. DrPeering Press.Google Scholar
  41. Pardalos, P., Migdalas, A., & Pitsoulis, L. (2008). Pareto Optimality, Game Theory and Equilibria. Springer Optimization and Its Applications: Springer.Google Scholar
  42. Peterson, L., & Davie, B. (2014). Rfc 7336: Framework for content distribution network interconnection (cdni). http://tools.ietf.org/html/rfc7336.
  43. Pham, T.M. (2015). Analysis of isp caching in information-centric networks. In Proceedings of the IEEE RIVF International Conference on Computing Communication Technologies - Research, Innovation, and Vision for the Future (RIVF). doi: 10.1109/RIVF.2015.7049891 (pp. 151–156).
  44. Psaras, I., Chai, W., & Pavlou, G. (2012). Probabilistic in-network caching for information-centric networks. In Proceedings of the second ACM SIGCOMM workshop on Information-Centric networking.Google Scholar
  45. Rayburn, D. (2015). The state of the cdn market: Video pricing, contract, volume and market sizing trends. www.cdnpricing.com.
  46. Shakkottai, S., & Srikant, R. (2006). Economics of network pricing with multiple isps. IEEE/ACM Transactions on Networking, 14(6), 1233–1245. doi: 10.1109/TNET.2006.886393.CrossRefGoogle Scholar
  47. Shrimali, G., Akella, A., & Mutapcic, A. (2010). Cooperative interdomain traffic engineering using nash bargaining and decomposition. IEEE/ACM Transactions on Networking, 18(2), 341–352. doi: 10.1109/TNET.2009.2026748.CrossRefGoogle Scholar
  48. Soares, J., Carapinha, J., Melo, M., Monteiro, R., & Sargento, S. (2012). Resource allocation in the network operator’s cloud: A virtualization approach Computers and Communications (ISCC), 2012 IEEE Symposium on, pp. 000,800–000, 805.Google Scholar
  49. Telefonica (2014). Akamai and telefnica enter into global content delivery alliance. https://www.globalsolutions.telefonica.com/en/news/2014/03/25/telefonica-and-akamai/. Accessed Dec 1st 2015.
  50. Vakali, A., & Pallis, G. (2003). Content delivery networks: Status and trends. IEEE Internet Computing, 7(6), 68–74.CrossRefGoogle Scholar
  51. Vaquero, L., Rodero-Merino, L., Caceres, J., & Lindner, M. (2009). A break in the clouds: towards a cloud definition. ACM SIGCOMM Computer Communication Review, 39(1), 50–55.CrossRefGoogle Scholar
  52. der Veen, V. (2011). Orange and cogent fight over traffic management before french competition watchdog. http://www.futureofcopyright.com/home/blog-post/2011/09/08/orange-and-cogent-fight-over-traffic-management-before-french-competition-watchdog.html.
  53. Wang, X., Chen, M., Taleb, T., Ksentini, A., & Leung, V.C.M. (2014). Cache in the air: Exploiting content caching and delivery techniques for 5g systems. IEEE Communications Magazine, 52(2), 131–139.CrossRefGoogle Scholar
  54. Wong, R.K. (2013). Feasibility and a case study on content optimization services on cloud. Information Systems Frontiers, 15(4), 525–532. doi: 10.1007/s10796-012-9379-4.CrossRefGoogle Scholar
  55. Wulf, J., Zarnekow, R., Hau, T., & Brenner, W. (2010). Carrier activities in the cdn market - an exploratory analysis and strategic implications. In 2010 14th International Conference on Intelligence in Next Generation Networks. doi: 10.1109/ICIN.2010.5640943 (pp. 1–6).

Copyright information

© Springer Science+Business Media New York 2016

Authors and Affiliations

  • Jörn Künsemöller
    • 1
  • Nan Zhang
    • 2
  • Kimmo Berg
    • 3
  • João Soares
    • 4
  1. 1.Computer Networks GroupUniversity of PaderbornPaderbornGermany
  2. 2.Department of Communications and NetworkingAalto UniversityEspooFinland
  3. 3.Department of Mathematics and Systems AnalysisAalto UniversityEspooFinland
  4. 4.Portugal Telecom Inovação e SistemasAveiroPortugal

Personalised recommendations