A marketplace and its market mechanism for trading commoditized computing resources


This paper presents the design and implementation of the GridEcon Marketplace. In addition to supporting a market mechanism for trading computing resources on a pay-per-use basis, this marketplace also provides an environment for integrating value-added support services. These value-added services help consumers to use the utility computing market more efficiently. The GridEcon Market Mechanism for virtual machines specifies in detail the unit-of-trade, the bids and asks, as well as the matching algorithm. The marketplace and market mechanism are validated by using the GridEcon Platform, which is a service-oriented platform for composing market scenarios. Our validation results show that the GridEcon Marketplace fulfills all functional requirements and that the GridEcon Market Mechanism is computationally and economically efficient.

This is a preview of subscription content, access via your institution.

Fig. 1
Fig. 2
Fig. 3
Fig. 4
Fig. 5
Fig. 6
Fig. 7
Fig. 8
Fig. 9


  1. 1.

    Amazon, Elastic Compute Cloud (Amazon EC2). Available at: http://www.amazon.com/gp/browse.html?node=201590011. Accessed December 2008

  2. 2.

    Buyya R, Abramson D, Giddy J (2001) An economy grid architecture for service-oriented grid computing. 10th IEEE International Heterogeneous Computing Workshop (HCW 2001). San Francisco, IEEE Computer Society Press, Los Alamitos, CA

    Google Scholar 

  3. 3.

    Expedia. Available at: http://www.expedia.com/Accessed January 2010

  4. 4.

    Altmann J, Courcoubetis C, Stamoulis GD, Dramitinos M, Rayna T, Risch M, Bannink C (2008) “GridEcon—a market place for computing resources”, GECON 2008. Workshop on Grid Economics and Business Models, Springer LNCS, Las Palmas, Spain, August

    Google Scholar 

  5. 5.

    Lai K, Rasmusson L, Adar E, Zhang L, Huberman BA (2005) Tycoon: an implementation of a distributed market-based resource allocation system. Multiagent Grid Systems 1(3):169–182

    MATH  Google Scholar 

  6. 6.

    Musil, S (2008) Amazon's S3 Experiences Outage. Cnet News.com. Available at: http://news.cnet.com/8301-1023_3-9995301-93.html. Accessed January 2010

  7. 7.

    Neumann J v, Morgenstern O (2007) Theory of games and economic behavior. Princeton University Press, Princeton, NJ 60 Anv. edition

  8. 8.

    The Popcorn Project. Available at: http://www.cs.huji.ac.il/~popcorn/. Accessed 2008

  9. 9.

    Regev O, Nisan N (1998) The POPCORN Market—–an Online Market for Computational Resources. In: Proceedings of the First International Conference on Information and Computation Economies. ICE 1998. ACM, New York, NY

  10. 10.

    Risch M, Altmann J (2008) Cost Analysis of Current Grids and its Implications for Future Grid Markets. In: Proceedings of the Grid Economics and Business Model Workshop. GECON 2008. Springer LNCS, Heidelberg. pp 13–27

  11. 11.

    Waldspurger CA, Hogg T, Huberman BA, Kephart JO, Stornetta WS (1992) Spawn: a distributed computational economy. IEEE trans softw eng 18(2):103–117

    Article  Google Scholar 

  12. 12.

    Pattanaik KK, Singh R, Sahoo G (2007) An e-resource trading paradigm for computational grids, IJCSNS international. J Comput Sci Netw Secur 7(7):302–309

    Google Scholar 

  13. 13.

    The gridbus project. Available at: http://www.gridbus.org/Accessed 2009

  14. 14.

    Rahman M, Buyya R (2008) An Autonomic Workflow Management System for Global Grids. Proceedings of the Eighth IEEE International Symposium on Cluster Computing and the Grid, CCGrid. IEEE Computer Society, Washington, DC, In, pp 578–583

    Google Scholar 

  15. 15.

    Buyya R, Abramson D, Giddy J (2000) Nimrod-G: an Architecture for a Resource Management and Scheduling System in a Global Computational Grid, The 4th International Conference on High Performance Computing in Asia-Pacific Region (HPC Asia 2000), Beijing, China. IEEE Computer Society Press, New York, USA

    Google Scholar 

  16. 16.

    Venugopal S, Buyya R, Winton L (2004) A Grid Service Broker for Scheduling Distributed Data-Oriented Applications on Global Grids. In: Proceedings of the 2nd Workshop on Middleware for Grid Computing, MGC 2004, vol.76, ACM, New York, NY, USA. pp 75–80

  17. 17.

    Risch M, Altmann J, Makrypoulias Y, Soursos S (2008) Economics-Aware Capacity Planning for Commercial Grids. In: Collaborations and the Knowledge Economy, pp.1197-1205. IOS Press, Amsterdam

  18. 18.

    Quan DM (2006) “Mapping heavy communication Workflows onto Grid Resources within SLA context”, Proceedings of the Second International Conference on High Performance Computing and Communications (HPCC). Munich, Germany

    Google Scholar 

  19. 19.

    Quan DM, Altmann J (2007) “Mapping of SLA-Based Workflows with Light Communication onto Grid Resources”, GSEM 2007, 4th International Conference on Grid Service Engineering and Management. Leipzig, Germany

    Google Scholar 

  20. 20.

    Quan DM, Kao O (2005) Mapping workflows onto grid resources within an SLA context. Proc Eur Grid Conf EGC LNCS 3470:1107–1116

    Article  Google Scholar 

  21. 21.

    Risch M, Altmann J, Guo L, Fleming A, Courcoubetis C (2009) “The GridEcon Platform: A Business Scenario Testbed for Commercial Cloud Services,” GECON 2009, Workshop on Grid Economics and Business Models. Springer LNCS, Delft, Netherlands

  22. 22.

    Chuliang Weng, Minglu Li, Xinda Lu, Qianni Deng (2005) “Economic Based Resource Management Framework,” CCGrid 2005, Cardiff, Wales, UK

  23. 23.

    Sandholm T, Lai K, Ortiz JA, Odeberg J (2006) “Market-Based Resource Allocation Using High Performance Computing Grid for Scientific Applications,” In: Proceedings of IEEE HPDC

  24. 24.

    Wolski R, Brevik J, Plank JS, Bryan T (2003) “Grid resource allocation and control using computational economies,” In: Grid computing: making the Global infrastructure a reality. Wiley, New York

  25. 25.

    Xen. Available at: http://www.xen.org/. Accessed May 2009

  26. 26.

    Meinl T, Neumann D (2009) “A Real Options Model for Risk Hedging in Grid Computing Scenarios,” HICSS '09. 42nd Hawaii International Conference on System Sciences. pp 1–10

  27. 27.

    Eric Schonfeld, TechCrunch. Available at: http://www.techcrunch.com/2008/01/30/amazon-earnings-call-details-web-services-use-up-more-bandwidth-than-amazoncom-the-kindle-is-a-hit/. Accessed January 2008

  28. 28.

    Tsunamic Technologies Inc. Available at: http://www.clusterondemand.com/. Accessed December 2009

  29. 29.

    Google Apps. Available at: http://www.google.com/apps/. Accessed March 2009

  30. 30.

    Salesforce.com. Available at: http://www.salesforce.com. Accessed March 2009

  31. 31.

    Sun Grid. Available at: http://www.sun.com/service/sungrid/index.jsp. Accessed December 2008

  32. 32.

    Enomaly. Available at: http://www.enomaly.com/. Accessed December 2009

  33. 33.

    Zimory. Available at: http://www.zimory.com/. Accessed December 2009

  34. 34.

    Zimory restrictions. Available at: http://www.zimory.com/index.php?id=33#c94. Accessed December 2009

  35. 35.

    Globus. Available at: http://www.globus.org/. Accessed January 2010

  36. 36.

    OGSA. Available at: http://www.globus.org/ogsa/. Accessed January 2010

  37. 37.

    Elmroth E, Gardfjäll P, Mulmo O, Sandgren A, Sandholm T (2004) An OGSA-Based Bank Service for Grid Accounting Systems; 2nd International Conference on Service Oriented Computing. pp 279–288

  38. 38.

    Sandholm T, Gardfjäll P, Elmroth E, Johnsson L, Mulmo O (2004) “An OGSA-based accounting system for allocation enforcement across HPC centers.” In: Proceedings of the 2nd International Conference on Service Oriented Computing, New York, NY, USA. ICSOC, ACM, New York)

  39. 39.

    Karasavvas K, Antonioletti M, Atkinson M, Hong NC, Sugden T, Hume A, Jackson M, Krause A, Palansuriy C (2005) Introduction to OGSA-DAI services. In Lect Notes Comput Sci 3458:1–12

    Article  Google Scholar 

  40. 40.

    Mason R, Courcoubetis C, Miliou N (2009) “A Framework for Analyzing the Economics of a Market for Grid Services,” 6th International Workshop on Grid Economics and Business Models, GECON 2009, Delft, The Netherlands

  41. 41.

    EMC CIS. Available at: http://www.emccis.com. Accessed January 2010

Download references


This research has been supported by the European Commission within the framework of the FP6 ICT GridEcon project (contract no. 033634). The authors would also like to thank the members of the GridEcon consortium for their contributions. Special acknowledgement is due to George Stamoulis, Manos Dramitinos, Kostas Giannakakis, Thierry Rayna, Alan Fleming, and Alon Lahav.

Author information



Corresponding author

Correspondence to Jörn Altmann.

Rights and permissions

Reprints and Permissions

About this article

Cite this article

Altmann, J., Courcoubetis, C. & Risch, M. A marketplace and its market mechanism for trading commoditized computing resources. Ann. Telecommun. 65, 653–667 (2010). https://doi.org/10.1007/s12243-010-0183-1

Download citation


  • Grid economics
  • Cloud computing
  • Computing resource market
  • Market mechanism design
  • Utility computing
  • Grid computing
  • Simulation
  • Market scenario emulation