Price competition in a duopoly IaaS cloud market

Xianwei Li, Bo Gu, Cheng Zhang, Kyoko Yamori, Yoshiaki Tanaka

    Research output: Chapter in Book/Report/Conference proceedingConference contribution

    5 Citations (Scopus)


    Pricing cloud resources plays an important role in leading to the success of cloud computing. Cloud services are priced at different levels in infrastructure-as-a-service (IaaS) cloud market. For example, Amazon EC2 offers its cloud resources with three pricing schemes, the subscription model, pay-as-you-go model and spot pricing model. With more and more IaaS cloud service providers (CSPs) beginning to provide cloud services, they form a competitive market to compete for cloud users. Therefore, how to set optimal prices in order to maximize their revenue in a competitive IaaS cloud computing market while at the same time meeting the cloud users' demand satisfaction is a problem that CSPs should consider. Towards this end, in this paper, we study subscription pricing competition in a duopoly IaaS cloud computing market. First, we analyze whether or not the cloud users choose to use cloud service. Then, we present a game theoretic analysis of a cloud market with two CSPs competing non-cooperatively for cloud users.

    Original languageEnglish
    Title of host publicationAPNOMS 2014 - 16th Asia-Pacific Network Operations and Management Symposium
    PublisherInstitute of Electrical and Electronics Engineers Inc.
    ISBN (Print)9784885522888
    Publication statusPublished - 2014 Dec 23
    Event16th Asia-Pacific Network Operations and Management Symposium, APNOMS 2014 - Hsinchu, Taiwan, Province of China
    Duration: 2014 Sep 172014 Sep 19


    Other16th Asia-Pacific Network Operations and Management Symposium, APNOMS 2014
    CountryTaiwan, Province of China


    • Cloud computing
    • Cloud service provider
    • IaaS

    ASJC Scopus subject areas

    • Management Science and Operations Research
    • Computer Networks and Communications
    • Information Systems and Management

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