Pricing Models for 5G Multi-Tenancy Using Game Theory Framework

Regions with little or no access to modern information and communication technologies (ICT) experience the digital divide, and this is typically more prominent in rural areas. 5G network slicing with multi-tenancy, known as neutral host networks (NHN), is being investigated to reduce the digital divide in regions with and without existing infrastructure. Therefore, the key questions that need to be addressed include: What are the potential pricing strategies for 5G that support multi-operator network sharing? Which pricing strategy is most profitable in areas with a digital divide for the infrastructure provider (InP) and the national 5G mobile operator? This article evaluates the pricing strategies for 5G NHN in rural areas to attract investment from stakeholders and maximize their return on investment. The study uses the game theory framework to understand the suitability of three pricing strategies—Shapley value, bargaining game, and dynamic pricing— to help minimize the digital divide. We also apply the Nash equilibrium concept to find the most suitable pricing strategy using various input scenarios for the players. The results of the case study for rural areas show that dynamic pricing produces the highest payoff compared to the other two strategies for the InP and the operators in a scenario with a combined total subscriber number of more than 200. In contrast, the Shapley value is a more suitable strategy for InP with a combined total subscriber less than 200, and for MNOs with a combined total subscriber more than 280. Applying the Nash equilibrium concept to the players in this game suggests that dynamic pricing produces a mutually beneficial strategy.