Pricing for IP Networks and Services (original) (raw)
Related papers
1993
This paper was prepared for the conference "Public Access to the Internet," JFK School of Government, May 26-27 , 1993. We describe the technology and cost structure of the NSFNET backbone of the Internet, and discuss how one might price Internet access and use. We argue that usage-based pricing is likely to be necessary to control congestion on the Internet and propose a particular implementating of usage-based pricing using a "smart market". the National Science Foundation (NSF) announced that it will cease funding the ANS T3 Internet backbone in the near future. This is a major step in the transition from a government-funded to a commercial Internet. This movement has been welcomed by private providers of telecommunication services and businesses seeking access to the Internet.
Modelling and analysis of Internet pricing: introduction and challenges
… of the International Symposium on Applied …, 2005
This paper/presentation aims at introducing the reasons why switching from the current flat-rate Internet pricing to another scheme is required, at briefly classifying the existing propositions, and at highlighting the challenges that still have to be tackled in the area. Pricing has indeed become a hot topic in the networking literature in order to control congestion, differentiate services among users and somehow fairly share the resource, but is still the subject of debate about how, and even if, it should be implemented.
A study of pricing strategies and traffic behavior in packet networks
1999
Abstract The exponential growth of the Internet in virtually every metric has sparked a discussion about the role of pricing in public data networks. Initial research results demonstrate that priority pricing, congestion pricing, and other pricing schemes have the potential for improving social welfare over at-price schemes.
1999
The Internet is growing very fast. As the current Internet pricing schemes do not support the planned developments in the Internet service offering, .i.e. QoS schemes and broadband access, also Internet pricing models are under study. In this paper the environment of the ISP that implements the pricing schemes is explained and the current as well as the potential new pricing mechanisms are discussed. Basically Internet pricing can be flat rate or it can be based on basic usage parameters such as time and traffic volume. Additionally it is possible to price a connection according to the resources it consumes in the network. These advanced schemes can take into account the state of the network (congestion) and the nature of the traffic flow (burstiness).
A strategic pricing for quality of service (QoS) network business
In order to support emerging network businesses, such as Voice-over-IP (VoIP), virtual learning, video conferencing, and telemedicine, the Internet has to provide classes of service that are better than traditional 'best-effort' service. In computer networks, Quality of Service (QoS) is defined as the mechanisms that allow differentiation of network services based on their unique service requirements. To provide QoS over the current Internet, the Internet Engineering Task Force (IETF) and others have proposed a number of architectures, including Integrated Service (IntServ) and Differentiated Service (DiffServ). This research examines the basic issue of designing pricing models for Internet services at various quality levels. By formulating a pricing formula that is based on price-quality schema drawn from marketing theory, this research provides a unique approach to understand the pricing of Internet services. The pricing model in this research provides a flexible and dynamic capability to develop Internet pricing for upcoming digital economy.
Pricing the Internet: The One-Component versus Two-Component Pricing Mechanism - An Evaluation
2001
This paper investigates the efficiency of one-component pricing mechanisms versus two-component pricing mechanisms. The paper deals with four pricing mechanisms used in the Internet, namely, flat rate pricing, usage-based pricing, transaction-based pricing and version-based pricing for the analysis. The objective of the paper is to evaluate and analyse the ways in which the usage-based pricing mechanism is more efficient than one-component-based pricing and this evaluation has been made in accordance with the four examples cited. The paper observes the efficiency of the two-component pricing mechanism structure from both the sellers' and buyers' perspective and clears the way for further research in this area.