Strategy-Proof Spectrum Allocation among Multiple Operators

Abstract: To address the demand of exponentially increasing end users efficient use of limited spectrum is a necessity. For this, spectrum allocation among co-existing operators in licensed and unlicensed spectrum band is required to cater to the temporal and spatial traffic variations in the wireless network. In this paper, we consider multiple operator spectrum allocation problem via auctions. The classical Vickrey-Clarke-Grooves (VCG) approach provides a strategy-proof and social welfare maximizing auction at the cost of high computational complexity which makes it intractable for practical implementation. We propose a sealed bid auction for spectrum allocation, which is computationally tractable and can hence be applied as per the dynamic load variations of the network. We show that the proposed algorithm is strategy-proof. Simulation results are presented to exhibit the performance comparison of the proposed algorithm and the VCG mechanism.