A truthful (1-ɛ)-optimal mechanism for on-demand cloud resource provisioning

On-demand resource provisioning in cloud computing provides tailor-made resource packages (typically in the form of VMs) to meet users’ demands. Public clouds nowadays provide more and more elaborated types of VMs, but have yet to offer the most flexible dynamic VM assembly, which is partly due to the lack of a mature mechanism for pricing tailor-made VMs on the spot. This work proposes an efficient randomized auction mechanism based on a novel application of smoothed analysis and randomized reduction, for dynamic VM provisioning and pricing in geo-distributed cloud data centers. This auction, to the best of our knowledge, is the first one in literature that achieves (i) truthfulness in expectation, (ii) polynomial running time in expectation, and (iii) (1-ɛ)-optimal social welfare in expectation for resource allocation, where ɛ can be arbitrarily close to 0. Our mechanism consists of three modules: (1) an exact algorithm to solve the NP-hard social welfare maximization problem, which runs in polynomial time in expectation, (2) a perturbation-based randomized resource allocation scheme which produces a VM provisioning solution that is (1-ɛ)-optimal and (3) an auction mechanism that applies the perturbation-based scheme for dynamic VM provisioning and prices the customized VMs using a randomized VCG payment, with a guarantee in truthfulness in expectation. We validate the efficacy of the mechanism through careful theoretical analysis and trace-driven simulations.published_or_final_versio

Q-Strategy: A Bidding Strategy for Market-Based Allocation of Grid Services

The application of autonomous agents by the provisioning and usage of computational services is an attractive research field. Various methods and technologies in the area of artificial intelligence, statistics and economics are playing together to achieve i) autonomic service provisioning and usage of Grid services, to invent ii) competitive bidding strategies for widely used market mechanisms and to iii) incentivize consumers and providers to use such market-based systems. The contributions of the paper are threefold. First, we present a bidding agent framework for implementing artificial bidding agents, supporting consumers and providers in technical and economic preference elicitation as well as automated bid generation by the requesting and provisioning of Grid services. Secondly, we introduce a novel consumer-side bidding strategy, which enables a goal-oriented and strategic behavior by the generation and submission of consumer service requests and selection of provider offers. Thirdly, we evaluate and compare the Q-strategy, implemented within the presented framework, against the Truth-Telling bidding strategy in three mechanisms – a centralized CDA, a decentralized on-line machine scheduling and a FIFO-scheduling mechanisms

Rational bidding using reinforcement learning: an application in automated resource allocation

The application of autonomous agents by the provisioning and usage of computational resources is an attractive research field. Various methods and technologies in the area of artificial intelligence, statistics and economics are playing together to achieve i) autonomic resource provisioning and usage of computational resources, to invent ii) competitive bidding strategies for widely used market mechanisms and to iii) incentivize consumers and providers to use such market-based systems. The contributions of the paper are threefold. First, we present a framework for supporting consumers and providers in technical and economic preference elicitation and the generation of bids. Secondly, we introduce a consumer-side reinforcement learning bidding strategy which enables rational behavior by the generation and selection of bids. Thirdly, we evaluate and compare this bidding strategy against a truth-telling bidding strategy for two kinds of market mechanisms – one centralized and one decentralized

FlexAuc: Serving Dynamic Demands in a Spectrum Trading Market with Flexible Auction

In secondary spectrum trading markets, auctions are widely used by spectrum holders (SHs) to redistribute their unused channels to secondary wireless service providers (WSPs). As sellers, the SHs design proper auction schemes to stimulate more participants and maximize the revenue from the auction. As buyers, the WSPs determine the bidding strategies in the auction to better serve their end users. In this paper, we consider a three-layered spectrum trading market consisting of the SH, the WSPs and the end users. We jointly study the strategies of the three parties. The SH determines the auction scheme and spectrum supplies to optimize its revenue. The WSPs have flexible bidding strategies in terms of both demands and valuations considering the strategies of the end users. We design FlexAuc, a novel auction mechanism for this market to enable dynamic supplies and demands in the auction. We prove theoretically that FlexAuc not only maximizes the social welfare but also preserves other nice properties such as truthfulness and computational tractability.Comment: 11 pages, 7 figures, Preliminary version accepted in INFOCOM 201

An Online Auction Mechanism for Dynamic Virtual Cluster Provisioning in Geo-Distributed Clouds

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