Pricing based differentiated bandwidth service

In this paper, we design a framework that is composed of feedback signals and the corresponding source adaptation scheme to provide differentiated bandwidth service for elastic and inelastic applications. The feedback signals consist of a controlling signal and a charging signal. The continuous control signal of the most congested link is used as the control signal for each source to adjust the sending rate. The sum of link prices will serve as the charging signal to determine the cost that each source should pay and the distribution of the profit among service providers. Traffic can achieve weighted max-min fairness by adjusting its sending rate according to the feedback signals, the corresponding source adaptation scheme and its willingness-to-pay. Our pricing system allows us to formulate a reasonable pricing framework to charge the sources. With the proposed scheme, each link has the incentive to increase its capacity because it can get more profit. This is very helpful for the evolution of the Internet.