The role of the manager in a noncooperative network

Traditional computer networks were typically designed with system-wide optimization in mind. In noncooperative networks users make control decisions that optimize their individual performance objectives. Nash equilibria characterize the operating points of such networks. Nash equilibria exhibit, in general, suboptimal network performance. Focusing on routing, a methodology is devised for overcoming this deficiency, through the intervention of the network manager. The manager controls part of the network flow, is aware of the noncooperative behavior of the users and performs its routing aiming at improving the overall system performance. The existence of maximally efficient strategies for the manager, i.e., strategies that drive the system into the global network optimum, is investigated. Necessary and sufficient conditions for the existence of a maximally efficient strategy are derived. The maximally efficient strategy are shown to be unique and it is specified explicitly.