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Comparing Traffic Discrimination Policies in an Agent-Based Next-Generation Network Market

In: Managing Market Complexity

Author

Listed:
  • Simon Diedrich

    (University of Auckland)

  • Fernando Beltrán

    (University of Auckland)

Abstract

Presently, the network neutrality paradigm governs the manner in which most data is transported over the Internet. However, experts often question whether keeping such a policy remains reasonable. In the context of new technologies, such as all-IP Next Generation Networks (NGN), traffic discrimination promises to benefit both network providers and users, but also imposes risks. We develop an agent-based NGN market model, in order to investigate the effects of neutral and non-neutral traffic management policies on the performance of Internet market participants. A simulation-based analysis of different policy and competition scenarios suggests that content providers perform best when network neutrality is imposed, while network providers and consumers may benefit from traffic discrimination, under certain circumstances.

Suggested Citation

  • Simon Diedrich & Fernando Beltrán, 2012. "Comparing Traffic Discrimination Policies in an Agent-Based Next-Generation Network Market," Lecture Notes in Economics and Mathematical Systems, in: Andrea Teglio & Simone Alfarano & Eva Camacho-Cuena & Miguel Ginés-Vilar (ed.), Managing Market Complexity, edition 127, chapter 0, pages 3-14, Springer.
    • Handle: RePEc:spr:lnechp:978-3-642-31301-1_1
    DOI: 10.1007/978-3-642-31301-1_1
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