Charging in ATM networks based on the equivalent capacity

In this paper, we propose a novel method of charging in a packet switched network. The idea is to redefine the network capacity as seen by individual packets. Then, based on this redefined capacity, each packet is to be charged a different amount-depending upon the tariffs. We have considered two simple network models to show that the variation of traffic load does indeed alter the way a packet is treated and the same may be reflected in the billing procedure. As an example, we have proposed a workable charging mechanism contending the fact that there are many ways that the main idea of this paper may be used. The method is potentially useful in ATM wide area networks (WAN) offering ABR/UBR and VBR services.