Adaptive Market Mechanism for Efficient Cloud Services Trading

Cloud resource allocation and pricing is a significant and challenging problem for modern cloud providers, which needs to be addressed. In this work, we propose an adaptive greedy mechanism, which is a new type of greedy market mechanism for efficient cloud resource allocation. The mechanism is combinatorial and it is designed to be operated by a single cloud provider. We prove that our proposed market mechanism is truthful, i.e. the buyers do not have an incentive to lie about their true valuation for the resource. Our experimental investigation showed that the proposed mechanism outperforms the conventional (single-shot) approach for solving combinatorial auction in terms of generated social welfare and resource utilization.