Optimal cost-based strategies in mobile network offloading

Abstract

This article examines potential deployment strategies for mobile operators to satisfy the high anticipated data traffic volume in their mobile networks. The mobile network offloading is analyzed with the traditional evolution of macrocellular radio access networks. Cognitive radio is considered as a technology that may augment these deployment strategies. A duopoly model is developed to examine where and when mobile offloading is likely to happen. The results show how much offloading there will be and the exact conditions when it is profitable based on the estimated cost parameters and the future demands. An illustrative case study in Helsinki metropolitan area is examined for year 2015.