Understand Love of Variety in Wireless Data Market under Sponsored Data Plans

Yi Zhao, Haiyang Wang, Hui Su, Liang Zhang, Rui Zhang, Dan Wang, Ke Xu

Research output: Contribution to journalArticlepeer-review

7 Scopus citations

Abstract

Sponsored Data Plan (SDP) is an emerging pricing model for the wireless data market where the Content Provider (CP) can sponsor the data usage for specific content on behalf of the users. This strategy sheds new light on the data pricing model and receives significant attention from the Internet Service Provider (ISP). However, the existing SDP studies consider traffic price (e.g., sponsorship) as the only factor that affects user decision. The impact of other classic market features, such as the demand for a variety of contents (i.e., love of variety), remains largely unclear. In this paper, we develop a new model to understand the love of variety in the wireless data market under SDPs. Our model has demonstrated that, such variety is important to understand the complex gaming between ISPs, CPs, and users in both short-run and long-run markets. For example, the analysis indicates that the advantage of CPs with higher revenue will be significantly reduced when users have a greater love of variety. Moreover, to help the ISP better adopt the proposed model in the real market, we also develop a practical method to calibrate the related parameters, which can also be applied to quantity the love of variety.

Original languageEnglish (US)
Article number8984356
Pages (from-to)766-781
Number of pages16
JournalIEEE Journal on Selected Areas in Communications
Volume38
Issue number4
DOIs
StatePublished - Apr 2020
Externally publishedYes

Bibliographical note

Funding Information:
Manuscript received September 1, 2019; revised December 1, 2019; accepted January 7, 2020. Date of publication February 5, 2020; date of current version April 15, 2020. This work was supported in part by the National Science Foundation for Distinguished Young Scholars of China under Grant 61825204, in part by the National Natural Science Foundation of China under Grant 61932016, in part by the Beijing Outstanding Young Scientist Program under Grant BJJWZYJH01201910003011, and in part by the Beijing National Research Center for Information Science and Technology (BNRist) under Grant BNR2019RC01011. The work of Dan Wang was supported in part by under Grant GRF 15210119, Grant ITF UICP/UIM/363, Grant ITF ITS/070/19FP, Grant CRF C5026-18G, and Grant PolyU 1-ZVPZ, and in part by the Huawei Collaborative Project. This article was presented in part at the IEEE/ACM IWQoS 2019. (Corresponding authors: Dan Wang; Ke Xu.) Yi Zhao and Ke Xu are with the Department of Computer Science and Technology, Tsinghua University, Beijing 100084, China, and also with the Beijing National Research Center for Information Science and Technology (BNRist), Beijing 100084, China (e-mail: zhaoyi16@mails.tsinghua.edu.cn; xuke@tsinghua.edu.cn).

Publisher Copyright:
© 1983-2012 IEEE.

Keywords

  • Sponsored data plan (SDP)
  • competition among CPs
  • relative love of variety (RLV)

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