research-article

Sponsored Data Plan: A Two-Class Service Model in Wireless Data Networks

Authors:

Dan WangAuthors Info & Claims

SIGMETRICS '15: Proceedings of the 2015 ACM SIGMETRICS International Conference on Measurement and Modeling of Computer Systems

Pages 85 - 96

https://doi.org/10.1145/2745844.2745863

Published: 15 June 2015 Publication History

Abstract

Data traffic demand over the Internet is increasing rapidly, and it is changing the pricing model between Internet service providers (ISPs), content providers (CPs) and end users. One recent pricing proposal is sponsored data plan, i.e., when accessing contents from a particular CP, end users do not need to pay for that volume of traffic consumed, but the CP will sponsor for this data consumption. In this paper, our goal is to understand the rationale behind this new pricing model, as well as its impacts to the wireless data market, in particular, who will benefit and who will be hurt from this scheme. We build a two-class service model to analyze the consumers' traffic demand under the sponsored data plan with consideration of QoS. We use a two-stage Stackelberg game to characterize the interaction between CPs and the ISP and reveal a number of important findings. Our conclusions include: 1) When the ISP's capacity is sufficient, the sponsored data plan benefits consumers and CPs in the short run, but the ISP does not have incentives to further improve its service in the long run. 2) When ISP's capacity is insufficient, the ISP and end users may achieve a win- win trade, while the ISP and CPs always compete for the revenue. 3) The sponsored data plan may enlarge the un- balance in revenue distribution between different CPs; CPs with higher unit income and poorer technology support are more likely to prefer the sponsored data plan.

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Cited By

Wang CLi MFeng HFeng N(2024)Sponsored Data: Cooperative Pricing and Subsidizing Strategies of Mobile Telecom Carriers and Internet Content ProvidersIEEE Transactions on Engineering Management10.1109/TEM.2023.329433171(8923-8937)Online publication date: 2024
https://doi.org/10.1109/TEM.2023.3294331
Lotfi INiyato DSun SKim DShen X(2024)Semantic Information Marketing in the Metaverse: A Learning-Based Contract Theory FrameworkIEEE Journal on Selected Areas in Communications10.1109/JSAC.2023.334540242:3(710-723)Online publication date: Mar-2024
https://doi.org/10.1109/JSAC.2023.3345402
Wang XYe JLui J(2023)Decentralized Scheduling and Dynamic Pricing for Edge Computing: A Mean Field Game ApproachIEEE/ACM Transactions on Networking10.1109/TNET.2022.320469831:3(965-978)Online publication date: Jun-2023
https://doi.org/10.1109/TNET.2022.3204698
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Index Terms

Sponsored Data Plan: A Two-Class Service Model in Wireless Data Networks
1. Applied computing
  1. Law, social and behavioral sciences
    1. Economics
2. Computing methodologies
  1. Modeling and simulation
    1. Model development and analysis
      1. Modeling methodologies

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Published In

cover image ACM Conferences

SIGMETRICS '15: Proceedings of the 2015 ACM SIGMETRICS International Conference on Measurement and Modeling of Computer Systems

June 2015

488 pages

ISBN:9781450334860

DOI:10.1145/2745844

General Chairs:
Bill Lin
University of California, San Diego
,
Jun (Jim) Xu
Georgia Tech
,
Program Chairs:
Sudipta Sengupta
Microsoft Research
,
Devavrat Shah
Massachusetts Institute of Technology

ACM SIGMETRICS Performance Evaluation Review Volume 43, Issue 1
Performance evaluation review
June 2015
468 pages
ISSN:0163-5999
DOI:10.1145/2796314
Editors:
Derek Eager
University of Saskatchewan
,
Carey Williamson
University of Calgary
Issue’s Table of Contents

Copyright © 2015 ACM.

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SIGMETRICS: ACM Special Interest Group on Measurement and Evaluation

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Published: 15 June 2015

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RGC/GRF PolyU
National Natural Science Foundation of China

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SIGMETRICS '15: ACM SIGMETRICS / International Conference on Measurement and Modeling of Computer Systems

June 15 - 19, 2015

Oregon, Portland, USA

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SIGMETRICS '15 Paper Acceptance Rate 32 of 239 submissions, 13%;

Overall Acceptance Rate 459 of 2,691 submissions, 17%

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Cited By

Wang CLi MFeng HFeng N(2024)Sponsored Data: Cooperative Pricing and Subsidizing Strategies of Mobile Telecom Carriers and Internet Content ProvidersIEEE Transactions on Engineering Management10.1109/TEM.2023.329433171(8923-8937)Online publication date: 2024
https://doi.org/10.1109/TEM.2023.3294331
Lotfi INiyato DSun SKim DShen X(2024)Semantic Information Marketing in the Metaverse: A Learning-Based Contract Theory FrameworkIEEE Journal on Selected Areas in Communications10.1109/JSAC.2023.334540242:3(710-723)Online publication date: Mar-2024
https://doi.org/10.1109/JSAC.2023.3345402
Wang XYe JLui J(2023)Decentralized Scheduling and Dynamic Pricing for Edge Computing: A Mean Field Game ApproachIEEE/ACM Transactions on Networking10.1109/TNET.2022.320469831:3(965-978)Online publication date: Jun-2023
https://doi.org/10.1109/TNET.2022.3204698
Wang CLi MFeng HFeng N(2023)When Should Competing Mobile Telecom Carriers Provide Sponsored Data Plans Under Cross-Side Network Effects?International Journal of Electronic Commerce10.1080/10864415.2023.222690227:3(406-440)Online publication date: 4-Jul-2023
https://doi.org/10.1080/10864415.2023.2226902
Lee SManjunath DJoo C(2022)On the Economics Effects of CDN-Mediated Delivery on Content ProvidersIEEE Transactions on Network and Service Management10.1109/TNSM.2022.316288319:4(4449-4460)Online publication date: Dec-2022
https://doi.org/10.1109/TNSM.2022.3162883
Vyavahare PNair JManjunath D(2022)Sponsored Data: On the Effect of ISP Competition on Pricing Dynamics and Content Provider Market StructuresIEEE/ACM Transactions on Networking10.1109/TNET.2022.316285630:5(2018-2031)Online publication date: Oct-2022
https://doi.org/10.1109/TNET.2022.3162856
Zhao YTan QXu XSu HWang DXu K(2022)Congestion-Aware Modeling and Analysis of Sponsored Data Plan from End User Perspective2022 IEEE/ACM 30th International Symposium on Quality of Service (IWQoS)10.1109/IWQoS54832.2022.9812866(1-11)Online publication date: 10-Jun-2022
https://doi.org/10.1109/IWQoS54832.2022.9812866
Jing WZheng QXu ZShi QYang F(2022)Pricing between ISPs under Content Sponsoring In ICN2022 5th International Conference on Hot Information-Centric Networking (HotICN)10.1109/HotICN57539.2022.10036226(7-12)Online publication date: 24-Nov-2022
https://doi.org/10.1109/HotICN57539.2022.10036226
Patchala SLee SJoo CManjunath D(2021)On the Economics of Network Interconnections and its Impact on Net NeutralityIEEE Transactions on Network and Service Management10.1109/TNSM.2021.309237618:4(4789-4800)Online publication date: Dec-2021
https://doi.org/10.1109/TNSM.2021.3092376
Wang CLi MFeng HFeng N(2021)Should subscription-revenue internet content providers adopt sponsored data plans by mobile telecom carriers in duopoly market?Electronic Commerce Research and Applications10.1016/j.elerap.2021.10110650:COnline publication date: 1-Nov-2021
https://dl.acm.org/doi/10.1016/j.elerap.2021.101106
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