Abstract
Media streaming applications have recently attracted a large number of users in the Internet. With the advent of these bandwidth-intensive applications, it is economically inefficient to provide streaming distribution with guaranteed QoS relying only on central resources at a media content provider. Cloud computing offers an elastic infrastructure that media content providers (e.g., Video on Demand (VoD) providers) can use to obtain streaming resources that match the demand. Media content providers are charged for the amount of resources allocated (reserved) in the cloud. Most of the existing cloud providers employ a pricing model for the reserved resources that is based on non-linear time-discount tariffs (e.g., Amazon CloudFront and Amazon EC2). Such a pricing scheme offers discount rates depending non-linearly on the period of time during which the resources are reserved in the cloud. In this case, an open problem is to decide on both the right amount of resources reserved in the cloud, and their reservation time such that the financial cost on the media content provider is minimized. We propose a simple-easy to implement-algorithm for resource reservation that maximally exploits discounted rates offered in the tariffs, while ensuring that sufficient resources are reserved in the cloud. Based on the prediction of demand for streaming capacity, our algorithm is carefully designed to reduce the risk of making wrong resource allocation decisions. The results of our numerical evaluations and simulations show that the proposed algorithm significantly reduces the monetary cost of resource allocations in the cloud as compared to other conventional schemes.