Enabling dynamic market-managed QoS interconnection in the next generation internet by a modified BGP mechanism

We propose a market-managed QoS (quality of service) interconnection model for heterogeneous networking environments. The deployment of this model will help autonomous systems to reduce the cost of their network services as well as increase social welfare. We describe a technical solution for a next generation Internet, where networks are managed based on either technology requirements (QoS networks) or market principles (market-managed networks). Our solution requires two technologies: BMP (bandwidth management point) and a modified version of BGP (border gateway protocol). The modified version of BGP, as proposed in this paper, provides additional routing exchange information such as price and QoS level specifications. Both technologies are discussed with regard to the impact on routing, QoS provisioning, and charging. In order to show the benefit of our approach for inter-domain routing and interconnection, we present some analytical and simulation results, showing the significant increase in network service revenue as well as the increase in social welfare. These results draw important implications for designing the next generation Internet with regard to investment in QoS networks.