University of Toledo
The authors present a study of pricing cloud resources in this position paper. Their objective is to explore and understand the interplay between economics and systems designs proposed by recent research. They develop a general model that captures the resource needs of various applications and usage pricing of cloud computing. They show that a uniform price does not suffer any revenue loss compared to first-order price discrimination. They then consider alternative strategies that a provider can use to improve revenue, including resource throttling and performance guarantees, enabled by recent technical developments.