A Method to Solve the Resource Allocation Problem in the Design of Virtual Private Networks with Unicast and Multicast Connections

This paper is concerned with the resource allocation problem in the design of virtual private networks (VPNs) with unicast and multicast connections. The objective is to maximize the total network revenue that depends on blocking probabilities. Requests to set up connections are blocked if there is not enough available bandwidth on links of the infrastructure network, e.g. IP/MPLS (Multiprotocol Label Switching). We develop an approximate method to allocate bandwidth to VPNs based on revenue sensitivities calculation considering the implied costs - expected revenue loss due to capacity reduction when a new unicast or multicast connection is set up.

multiservice network, unicast connections, multicast connections, blocking probability, revenue, implied cost, optimization, virtual private network, resource allocation