Promising federated learning coupled with Mobile Edge Computing (MEC) is considered as one of the most promising solutions to the AI-driven service provision. Plenty of studies focus on federated learning from the performance and security aspects, but they neglect the incentive mechanism. In MEC, edge nodes would not like to voluntarily participate in learning, and they differ in the provision of multi-dimensional resources, both of which might deteriorate the performance of federated learning. Also, lightweight schemes appeal to edge nodes in MEC. These features require the incentive mechanism to be well designed for MEC. In this paper, we present an incentive mechanism FMore with multi-dimensional procurement auction of K winners. Our proposal FMore not only is lightweight and incentive compatible, but also encourages more high-quality edge nodes with low cost to participate in learning and eventually improve the performance of federated learning. We also present theoretical results of Nash equilibrium strategy to edge nodes and employ the expected utility theory to provide guidance to the aggregator. Both extensive simulations and real-world experiments demonstrate that the proposed scheme can effectively reduce the training rounds and drastically improve the model accuracy for challenging AI tasks.
Kyung Hee University(庆熙大学);The University of Sydney(悉尼大学);University of Houston(休斯顿大学)
Federated Learning (FL) is a distributed learning framework that can deal with the distributed issue in machine learning and still guarantee high learning performance. However, it is impractical that all users will sacrifice their resources to join the FL algorithm. This motivates us to study the incentive mechanism design for FL. In this paper, we consider a FL system that involves one base station (BS) and multiple mobile users. The mobile users use their own data to train the local machine learning model, and then send the trained models to the BS, which generates the initial model, collect…
Federated learning trains models across devices with distributed data, while protecting the privacy and obtaining a model similar to that of centralized ML. A large number of workers with data and computing power are the foundation of federal learning. However, the inevitable costs prevent self-interested workers from serving for free. Moreover, due to data isolation, task publishers lack effective methods to select, evaluate and pay reliable workers with high-quality data. Therefore, we design an auction-based incentive mechanism for horizontal federated learning with reputation and contribut…
Sponsored search in E-commerce platforms such as Amazon, Taobao and Tmall provides sellers an effective way to reach potential buyers with most relevant purpose. In this paper, we study the auction mechanism optimization problem in sponsored search on Alibaba's mobile E-commerce platform. Besides generating revenue, we are supposed to maintain an efficient marketplace with plenty of quality users, guarantee a reasonable return on investment (ROI) for advertisers, and meanwhile, facilitate a pleasant shopping experience for the users. These requirements essentially pose a constrained optimizati…
Online auction has been very widespread in the recent years. Platform administrators are working hard to refine their auction mechanisms that will generate high profits while maintaining a fair resource allocation. With the advancement of computing technology and the bottleneck in theoretical frameworks, researchers are shifting gears towards online auction designs using deep learning approaches. In this article, we summarized some common deep learning infrastructures adopted in auction mechanism designs and showed how these architectures are evolving. We also discussed how researchers are tac…
Calibration is a basic property for prediction systems, and algorithms for achieving it are well-studied in both statistics and machine learning. In many applications, however, the predictions are used to make decisions that select which observations are made. This makes calibration difficult, as adjusting predictions to achieve calibration changes future data. We focus on click-through-rate (CTR) prediction for search ad auctions. Here, CTR predictions are used by an auction that determines which ads are shown, and we want to maximize the value generated by the auction. We show that certain n…
In e-commerce advertising, it is crucial to jointly consider various performance metrics, e.g., user experience, advertiser utility, and platform revenue. Traditional auction mechanisms, such as GSP and VCG auctions, can be suboptimal due to their fixed allocation rules to optimize a single performance metric (e.g., revenue or social welfare). Recently, data-driven auctions, learned directly from auction outcomes to optimize multiple performance metrics, have attracted increasing research interests. However, the procedure of auction mechanisms involves various discrete calculation operations, …
University of Science and Technology of China(中国科学技术大学);JD Explore Academy, JD.com Inc.(京东集团京东探索研究院);Gaoling School of Artificial Intelligence, Renmin University of China(中国人民大学高瓴人工智能学院)
Designing an incentive-compatible auction mechanism that maximizes the auctioneer's revenue while minimizes the bidders' ex-post regret is an important yet intricate problem in economics. Remarkable progress has been achieved through learning the optimal auction mechanism by neural networks. In this paper, we consider the popular additive valuation and symmetric valuation setting; i.e., the valuation for a set of items is defined as the sum of all items' valuations in the set, and the valuation distribution is invariant when the bidders and/or the items are permutated. We prove that permutatio…
We propose a new architecture to approximately learn incentive compatible, revenue-maximizing auctions from sampled valuations. Our architecture uses the Sinkhorn algorithm to perform a differentiable bipartite matching which allows the network to learn strategyproof revenue-maximizing mechanisms in settings not learnable by the previous RegretNet architecture. In particular, our architecture is able to learn mechanisms in settings without free disposal where each bidder must be allocated exactly some number of items. In experiments, we show our approach successfully recovers multiple known op…
The design of revenue-maximizing combinatorial auctions, i.e. multi-item auctions over bundles of goods, is one of the most fundamental problems in computational economics, unsolved even for two bidders and two items for sale. In the traditional economic models, it is assumed that the bidders' valuations are drawn from an underlying distribution and that the auction designer has perfect knowledge of this distribution. Despite this strong and oftentimes unrealistic assumption, it is remarkable that the revenue-maximizing combinatorial auction remains unknown. In recent years, automated mechanis…
University of Maryland, College Park(马里兰大学帕克分校);University of Zurich(苏黎世大学)
Single-shot auctions are commonly used as a means to sell goods, for example when selling ad space or allocating radio frequencies, however devising mechanisms for auctions with multiple bidders and multiple items can be complicated. It has been shown that neural networks can be used to approximate optimal mechanisms while satisfying the constraints that an auction be strategyproof and individually rational. We show that despite such auctions maximizing revenue, they do so at the cost of revealing private bidder information. While randomness is often used to build in privacy, in this context i…
In e-commerce advertising, the ad platform usually relies on auction mechanisms to optimize different performance metrics, such as user experience, advertiser utility, and platform revenue. However, most of the state-of-the-art auction mechanisms only focus on optimizing a single performance metric, e.g., either social welfare or revenue, and are not suitable for e-commerce advertising with various, dynamic, difficult to estimate, and even conflicting performance metrics. In this paper, we propose a new mechanism called Deep GSP auction, which leverages deep learning to design new rank score f…
Statistically Truthful Auctions via Acceptance Rule
Department of Electrical and Computer Engineering, Technion IIT, Israel(电气与计算机工程系,技术学院IIT,以色列);Department of Computer Science, Technion IIT, Israel(计算机科学系,技术学院IIT,以色列)
Peking University(北京大学);Microsoft Research Asia(微软亚洲研究院)
Sponsored search is an important monetization channel for search engines, in which an auction mechanism is used to select the ads shown to users and determine the prices charged from advertisers. There have been several pieces of work in the literature that investigate how to design an auction mechanism in order to optimize the revenue of the search engine. However, due to some unrealistic assumptions used, the practical values of these studies are not very clear. In this paper, we propose a novel \emph{game-theoretic machine learning} approach, which naturally combines machine learning and ga…
University of YYY(YYY大学);Institute of WWW(WWW研究院);University of Maryland(马里兰大学);Carnegie Mellon University(卡内基梅隆大学);Optimized Markets, Inc.(优化市场公司);Strategic Machine, Inc.(战略机器公司);Strategy Robot, Inc.(战略机器人公司)
A recent approach to automated mechanism design, differentiable economics, represents auctions by rich function approximators and optimizes their performance by gradient descent. The ideal auction architecture for differentiable economics would be perfectly strategyproof, support multiple bidders and items, and be rich enough to represent the optimal (i.e. revenue-maximizing) mechanism. So far, such an architecture does not exist. There are single-bidder approaches (MenuNet, RochetNet) which are always strategyproof and can represent optimal mechanisms. RegretNet is multi-bidder and can approx…
One of the central problems in auction design is developing an incentive-compatible mechanism that maximizes the auctioneer's expected revenue. While theoretical approaches have encountered bottlenecks in multi-item auctions, recently, there has been much progress on finding the optimal mechanism through deep learning. However, these works either focus on a fixed set of bidders and items, or restrict the auction to be symmetric. In this work, we overcome such limitations by factoring \emph{public} contextual information of bidders and items into the auction learning framework. We propose $\mat…
Optimal auctions maximize a seller's expected revenue subject to individual rationality and strategyproofness for the buyers. Myerson's seminal work in 1981 settled the case of auctioning a single item; however, subsequent decades of work have yielded little progress moving beyond a single item, leaving the design of revenue-maximizing auctions as a central open problem in the field of mechanism design. A recent thread of work in "differentiable economics" has used tools from modern deep learning to instead learn good mechanisms. We focus on the RegretNet architecture, which can represent auct…