Revenue distribution in a quality-centric internet interconnection market
ISBN
978-0-615-50707-1
Type
conference paper
Date Issued
2011-08-04
Author(s)
Abstract
The economic principals of today's internet have facilitated the rapid development of the digital economy. However, contentproviders with business models that are based on Voice over IP, internet-based TV or Software-as-a-Service have higherquality requirements than other internet companies. Thus, network operators are discussing the introduction of qualitydifferentiated transport classes (QoS). This article uses the methodology of agent-based computational economics (ACE) toassess the economics of a QoS interconnection market. Based on real-world market data we choose a representative set ofnetworks for simulating the value distribution among different network types in three market phases. Moreover, we analyzewhich network properties correlate with market success. The results suggest that content providers have strong incentives toestablish direct interconnections with access providers. Thus, transit providers will be bypassed and face falling revenues.Access network providers will be able to collect most transport revenues and refinance infrastructure investments.
Language
English
HSG Classification
contribution to scientific community
Refereed
Yes
Book title
Proceedings of the Americas Conference on Information Systems (AMCIS 2011)
Publisher
AIS Association for Information Systems
Publisher place
AIS Electronic Library (AISeL)
Start page
1
Event Title
17th Americas Conference on Information Systems (AMCIS 2011)
Event Location
Detroit, Michigan
Event Date
04.-08.08.2011
Subject(s)
Division(s)
Eprints ID
226683