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Online Combinatorial Auctions for Resource Allocation with Supply Costs and Capacity Limits
Tan Xiaoqi1; Leon-Garcia Alberto1; Wu Yuan2; Tsang Danny H.K.3
2020-04
Source PublicationIEEE Journal on Selected Areas in Communications
ISSN0733-8716
Volume38Issue:4Pages:655-668
Abstract

We study a general online combinatorial auction problem in algorithmic mechanism design. A provider allocates multiple types of capacity-limited resources to customers that arrive in a sequential and arbitrary manner. Each customer has a private valuation function on bundles of resources that she can purchase (e.g., a combination of different resources such as CPU and RAM in cloud computing). The provider charges payment from customers who purchase a bundle of resources and incurs an increasing supply cost with respect to the totality of resources allocated. The goal is to maximize the social welfare, namely, the total valuation of customers for their purchased bundles, minus the total supply cost of the provider for all the resources that have been allocated. We adopt the competitive analysis framework and provide posted-price mechanisms with optimal competitive ratios. Our pricing mechanism is optimal in the sense that no other online algorithms can achieve a better competitive ratio. We validate the theoretic results via empirical studies of online resource allocation in cloud computing. Our numerical results demonstrate that the proposed pricing mechanism is competitive and robust against system uncertainties and outperforms existing benchmarks.

KeywordCombinatorial Auctions Mechanism Design Online Algorithms Posted Price Resource Allocation
DOI10.1109/JSAC.2020.2971810
URLView the original
Indexed BySCIE
Language英語English
WOS Research AreaEngineering ; Telecommunications
WOS SubjectEngineering, Electrical & Electronic ; Telecommunications
WOS IDWOS:000531423400003
PublisherIEEE-INST ELECTRICAL ELECTRONICS ENGINEERS INC, 445 HOES LANE, PISCATAWAY, NJ 08855-4141 USA
Scopus ID2-s2.0-85084404939
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Citation statistics
Document TypeJournal article
CollectionUniversity of Macau
Corresponding AuthorTan Xiaoqi
Affiliation1.Edward S. Rogers Sr. Department of Electrical and Computer Engineering,University of Toronto,Toronto,Canada
2.State Key Laboratory of Internet of Things for Smart City,University of Macau,Macao
3.Department of Electronic and Computer Engineering,Hong Kong University of Science and Technology,Hong Kong
Recommended Citation
GB/T 7714
Tan Xiaoqi,Leon-Garcia Alberto,Wu Yuan,et al. Online Combinatorial Auctions for Resource Allocation with Supply Costs and Capacity Limits[J]. IEEE Journal on Selected Areas in Communications, 2020, 38(4), 655-668.
APA Tan Xiaoqi., Leon-Garcia Alberto., Wu Yuan., & Tsang Danny H.K. (2020). Online Combinatorial Auctions for Resource Allocation with Supply Costs and Capacity Limits. IEEE Journal on Selected Areas in Communications, 38(4), 655-668.
MLA Tan Xiaoqi,et al."Online Combinatorial Auctions for Resource Allocation with Supply Costs and Capacity Limits".IEEE Journal on Selected Areas in Communications 38.4(2020):655-668.
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