Optimal Service Auction for Wireless Powered Internet of Things (IoT) Device

Internet of Things (IoT) objects and devices, e.g., sensors and actuators, can be accessed as a service to meet the users' demand from various applications. In this paper, we propose an optimal service auction to determine which user to access an IoT device. The auction decision to accept the highest bid is obtained as a policy of a Markov decision process (MDP) with an objective to maximize the reward of the IoT device defined as a function of the revenue from the bid minus the costs from energy replenishment and channel access for data transfer. We consider system dynamics in terms of wireless energy transfer and wireless transmission which can incur different costs. The optimal policy obtained from the MDP shows the adaptability of the IoT device owner to accept the highest bid and to request for wireless energy transfer. The performance evaluation shows clearly that the proposed optimal service auction achieves significantly higher reward than a static scheme.