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Revenue maximization of Internet of things provider using variable neighbourhood search
Journal of Global Optimization ( IF 1.3 ) Pub Date : 2020-03-05 , DOI: 10.1007/s10898-020-00894-z
Vesna Radonjić Ɖogatović , Marko Ɖogatović , Milorad Stanojević , Nenad Mladenović

Internet of things (IoT) covers various aspects of collecting and exchanging data between diverse entities. From IoT provider’s perspective, one of the most significant issues is how to set the price that maximizes its revenue while meeting users’ requirements. In this paper, we focus on revenue maximization of the IoT service provider by applying pay per use pricing within the combinatorial sealed-bid auction. Pay per use pricing option implies that each user is charged per unit of consumption according to the actual usage. We assume that a user pays a threshold price for a unit of consumption, which is determined based on the auction. The auction is conducted with bidding prices set up in advance within service level agreement (SLA). We use variable neighbourhood search (VNS) in order to derive the optimal threshold price that maximizes IoT provider’s revenue, and users’ satisfaction. In addition, the optimization within the auction mechanism is conducted using different metaheuristics, which are compared with two types of VNS algorithms.



中文翻译:

使用可变邻域搜索的物联网提供商收入最大化

物联网(IoT)涵盖了在不同实体之间收集和交换数据的各个方面。从物联网提供商的角度来看,最重要的问题之一是如何设置价格以使其收入最大化,同时满足用户需求。在本文中,我们将重点放在物联网服务提供商的收益最大化上,方法是在组合密封竞价拍卖中采用按使用量付费定价。按使用量付费定价选项意味着,根据实际使用量按使用量为每个用户收费。我们假设用户为消费单位支付阈值价格,该阈值价格是根据拍卖确定的。拍卖是根据服务水平协议(SLA)中预先设置的投标价格进行的。我们使用可变邻域搜索(VNS)来推导最佳阈值价格,以使IoT提供商的收入和用户满意度最大化。此外,拍卖机制中的优化是使用不同的元启发法进行的,并将其与两种类型的VNS算法进行比较。

更新日期:2020-03-05
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