Power-Trading in Wireless Communications: A Cooperative Networking Business Model

Managing the power resource in battery operated wireless devices is very crucial for extending the lifetime, here we propose the concept of power trading in wireless communications. We present a business model using sealed bid procurement auction based game theory for power-trading in cooperative wireless communication with quality of service (QoS) constraints. We formulate the problem as an auction in a buyer´s market sequentially/repeatedly played with a single source and a multiple relay network. The source, in-need of cooperation of a relay due to lack of battery power to communicate with the destination, broadcasts a cooperation-request specifying its QoS requirements. The QoS that we consider here are the bit error rate and the total delay associated with relaying the source data. The relays respond with their bids in terms of Euros/bit, and the source selects the best relay based on the bids. The relays compete with each other to win the game and profit from power trading. Each relay updates its pricing index via reinforcement learning to win the game during successive bidding intervals of the repeated game. Based on this model our results show that the relay node with the best features such as a better wireless channel and a better geographical position with respect to the source and destination nodes has a better chance of winning the game, and hence giving rise to a dominant strategy. More importantly, we show that the gains from the wireless channels can be converted into economic profits which is an attractive feature of the proposed business model for power trading.