Bargaining-Based Data Markets

With the prevalence of data-driven business, data markets where data can be commoditized, circulated, and ex-ploited are gaining considerable interest in the data management community. However, the uncertainty in data value poses great challenges for data pricing and thus data trading, which is magnified by the externality arising from the replicable nature of data. In this paper, we present the first bargaining-based data market framework to resolve the externality in data markets. Gearing toward raw data trading, we propose a three-stage bar-gaining model to formulate trading dynamics, which ascertains the data price agreed by both sellers and buyers. With parameters instantiated in preparation stage, an iterative bidding algorithm with provable convergence is designed in negotiation stage to solve the data pricing problem by eliciting equilibrium bids from participants with their profits optimized. Approximation algorithms with guaranteed bounds are presented in settlement stage to solve the NP-hard data allocation problem for profit maximization for the data seller with individual rationality satisfied for data buyers. Experiments on real datasets verify the effectiveness and efficiency of our framework.