Fixed and Market Pricing for Cloud Services

Details Fixed and Market Pricing for Cloud Services Fixed and Market Pricing for Cloud Services

2012-01-26

arxiv.org/abs/1201.5621v1

Computer Science

Computer Science and Game Theory

9 pages and 1 figure. An abridged version of this will appear in the 7th Workshop on the Economics of Networks, Systems, and C

Scientific paper

This paper considers two simple pricing schemes for selling cloud instances
and studies the trade-off between them. We characterize the equilibrium for the
hybrid system where arriving jobs can choose between fixed or the market based
pricing. We provide theoretical and simulation based evidence suggesting that
fixed price generates a higher expected revenue than the hybrid system.

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