Bandwidth Utilization Auditing for Dynamic Cost Optimization
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Solution Overview
Problem
Conventional cost models for data communication in wide area networks are inflexible, leading to high expenses for businesses due to inadequate monitoring and reporting of bandwidth utilization, resulting in customers being penalized for overages without compensation for underutilization.
Innovation Solution
A system and method for managing bandwidth utilization that includes an auditing device to collect data from customer networks, a repository unit for analysis and reporting, and databases to store and retrieve data, enabling accurate determination and reporting of actual bandwidth usage, allowing customers to pay only for their actual usage.
Engineering Contradictions & Design Principles
Engineering Contradiction Analysis
1Measurement precision
If conventional cost models are used for bandwidth leasing, then service providers can lease data links to customers, but customers pay high expenses without accurate bandwidth utilization monitoring
Solution Approach 1:
An intermediary system comprising a service provider server, database, and web interface is introduced between the customer premises equipment and the billing system. This intermediary automatically collects bandwidth utilization data from CPE devices, stores it in a database, and presents it through a web interface, eliminating the need for complex manual monitoring while enabling precise measurement of actual bandwidth usage.
Solution Approach 2:
The system enables self-service by allowing customers to automatically access their own bandwidth utilization data through a web interface without requiring service provider intervention. Customers can log in, view their usage statistics, and receive billing information automatically, reducing the complexity of manual monitoring and reporting processes.
2Adaptability or versatility
If data links are leased to support multiple user devices and bandwidth-intensive applications, then network connectivity is provided, but costs grow exponentially
Solution Approach 1:
The pricing model transitions from static fixed-fee leasing to dynamic usage-based pricing. The system continuously monitors actual bandwidth consumption and adjusts billing accordingly, allowing customers to pay only for what they use. This dynamic approach enables the system to adapt to varying bandwidth demands across different users, applications, and time periods, providing flexibility while controlling costs.
Solution Approach 2:
The billing parameter changes from a fixed lease fee to a variable cost based on actual bandwidth utilization metrics. By measuring and reporting specific parameters such as data volume transferred, peak usage times, and application-specific consumption, the system enables flexible pricing that reflects actual resource consumption rather than predetermined allocations.
3Adaptability or versatility
If conventional billing systems are used, then customers are charged for leased bandwidth, but they are penalized for overages without compensation for underutilization
Solution Approach 1:
The system implements feedback by continuously collecting actual bandwidth utilization data from customer premises equipment and providing this information back to customers through a web interface. This feedback loop enables transparent visibility into actual usage patterns, allowing customers to understand their consumption and adjust behavior accordingly, while providing the data foundation for fair usage-based pricing that rewards efficient utilization.
Data Source
AI summary
An approach is provided for managing bandwidth utilization. A networking device (e.g., router) corresponding to a customer is audited to determine utilization of a communication link serving the customer. A determination is made whether bandwidth, allocated to the customer, of the communication link is under-utilized. A notification is generated to inform the customer of the under-utilization based on the determination. Further, a determination can be made whether the allocated bandwidth of the communication link is over-utilized, in which case, the notification includes an indication of one or more sources of traffic through the networking device.