Optimization driven bandwidth provisioning in service overlay networks

We consider the bandwidth provisioning problem in service overlay networks (SON). We formulate the bandwidth provisioning problem in an optimization framework taking the stochastic processes involved into consideration. First, we provide the optimal solution that maximizes the expected net revenue in a single-link network under stationary traffic demand. Then, we show that the revenue maximization problem in a general topology under stationary traffic can be nicely approximated by a separable convex optimization problem. We derive an approximate optimal solution for a general topology and provide a bandwidth provisioning algorithm via a gradient method, which works in a distributed manner. We also verify the effectiveness of the approximate optimal solution by showing several important characteristics of the solution. The performance of the algorithm is investigated through extensive simulations.