We study a class of robust network design problems motivated by the need to
scale core networks to meet increasingly dynamic capacity demands. Past work
has focused on designing the network to support all hose matrices (all matrices
not exceeding marginal bounds at the nodes). This model may be too conservative
if additional information on traffic patterns is available. Another extreme is
the fixed demand model, where one designs the network to support peak
point-to-point demands. We introduce a capped hose model to explore a broader
range of traffic matrices which includes the above two as special cases. It is
known that optimal designs for the hose model are always determined by
single-hub routing, and for the fixed- demand model are based on shortest-path
routing. We shed light on the wider space of capped hose matrices in order to
see which traffic models are more shortest path-like as opposed to hub-like. To
address the space in between, we use hierarchical multi-hub routing templates,
a generalization of hub and tree routing. In particular, we show that by adding
peak capacities into the hose model, the single-hub tree-routing template is no
longer cost-effective. This initiates the study of a class of robust network
design (RND) problems restricted to these templates. Our empirical analysis is
based on a heuristic for this new hierarchical RND problem. We also propose
that it is possible to define a routing indicator that accounts for the
strengths of the marginals and peak demands and use this information to choose
the appropriate routing template. We benchmark our approach against other
well-known routing templates, using representative carrier networks and a
variety of different capped hose traffic demands, parameterized by the relative
importance of their marginals as opposed to their point-to-point peak demands