System and method for an auction of multiple types of items

• US 20050102215A1
• Filed: 05/31/2002
• Published: 05/12/2005
• Est. Priority Date: 05/18/2000
• Status: Active Grant

• Current Assignee: Efficient Auctions, LLC
• Original Assignee: Efficient Auctions, LLC
• Inventors: Jones, Wynne P, Ausubel, Lawrence M, Cramtom, Peter C
• Granted Patent: US 7,899,734 B2
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 20/10 specially adapted for electronic funds transfer [EFT] systems; specially adapted for home banking systems
• CPC Class Codes: G06Q 20/20 Point-of-sale [POS] network systems
• CPC Class Codes: G06Q 30/0212 Chance discounts or incentives
• CPC Class Codes: G06Q 30/0235 constrained by time limit or expiration date
• CPC Class Codes: G06Q 30/0239 Online discounts or incentives
• CPC Class Codes: G06Q 30/0601 Electronic shopping [e-shopping]
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/03 Credit; Loans; Processing thereof
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis
• CPC Class Codes: G06Q 50/188 Electronic negotiation

Abstract

An improved system and method for a computer-implemented auction in which multiple types of items are auctioned together without imposing a particular division of supply or demand among the individual types of items. In some embodiments the auction of the present invention provides a means or method for establishing prices for the types of items, wherein the prices maintain a relationship. In other embodiments, the present invention provides a means or method for implying prices from price parameters in the bids received form bidders, based on a relation among the prices for the types of items. Market clearing may be defined by the condition that the aggregate quantity bid for all types of items is less than or equal to the available quantity of all types of items. The division among the types of items within is thus determined flexibly, based on the bids at the associated prices. In other embodiments, market clearing is defined by the condition that the quantity bid for one selected type of item is less than or equal to the available quantity of the selected type of item. The quantities of the other types of items are thus determined flexibly, based on the bids at the associated prices.

Claims

1. A computer system for conducting an auction of a plurality of types of items among a plurality of bidders, wherein bids are received and an allocation of the items among the bidders is determined by the computer system based on the bids, comprising:

establishing means for establishing prices for the plurality of types of items, wherein the prices maintain a relationship,

receiving means for receiving bids associated with the established prices, and

processing means for processing the received bids to determine an allocation of the items among the bidders consistent with the bids in the event that an allocation consistent with the bids is possible, otherwise enabling the establishing means to alter the prices established for the plurality of types of items.

2. A system as recited in claim 1 which further comprises means for constraining the changes in a bid from a given bidder as the established prices are altered by considering, in the processing means, only bids which satisfy a constraint enforced by the means for constraining.

3. A system as recited in claim 2 wherein the constraining means includes summation means for calculating a sum of quantity parameters for a group of types of items.

4. A system as recited in claim 3 wherein the constraining means includes comparing means for comparing the calculated sum with a previous calculated sum for the same group of types of items.

5. A system as recited in claim 1 wherein each received bid comprises a quantity parameter for at least one of the types of items in the auction.

6. A system as recited in claim 5 wherein the establishing means establishes a price for a first type of item and then determines prices for each other type of item based on the price for the first type of item.

7. A system as recited in claim 6 wherein the establishing means determines prices from a predetermined schedule.

8. A system as recited in claim 7 wherein the establishing means includes interpolation means for interpolating prices among prices on the predetermined schedule.

9. A system as recited in claim 6 wherein the processing means includes summation means for calculating a sum of the quantity parameters for the first type of item.

10. A system as recited in claim 9 wherein the processing means includes comparing means for comparing the calculated sum with an available quantity parameter.

11. A system as recited in claim 1 wherein the plurality of types of items are contracts for provision of a commodity covering different time periods, wherein the time periods of at least some of the contracts have at least some overlap.

12. A system as recited in claim 5 wherein the plurality of types of items are contracts for provision of a commodity covering different time periods, wherein the time periods of at least some of the contracts have at least some overlap.

13. A system as recited in claim 12 wherein the processing means includes summation means for calculating a sum of the quantity parameters for the overlapping contracts.

14. A system as recited in claim 13 wherein the processing means includes comparing means for comparing the calculated sum with an available quantity parameter.

15. A system as recited in claim 1 wherein the relationship of the prices established by the establishing means is determined by a schedule.

16. A system as recited in claim 1 wherein the relationship of the prices established by the establishing means is determined by an algorithm.

17. A computer implemented method for conducting an auction of a plurality of types of items among a plurality of bidders, wherein bids are received and an allocation of the items among the bidders is determined based on the bids, comprising:

establishing prices for the plurality of types of items, wherein the prices maintain a relationship,

receiving bids associated with the established prices, and

processing the received bids to determine an allocation of the items among the bidders consistent with the bids in the event that an allocation consistent with the bids is possible, otherwise altering the established prices for the plurality of types of items.

18. A method as recited in claim 17 which further comprises constraining the changes in a bid from a given bidder as the established prices are altered by considering, in the processing, only bids which satisfy a constraint.

19. A method as recited in claim 18 wherein the constraining includes calculating a sum of quantity parameters for a group of types of items.

20. A method as recited in claim 19 wherein the constraining includes comparing the calculated sum with a previous calculated sum for the same group of types of items.

21. A method as recited in claim 17 wherein each received bid comprises a quantity parameter for at least one of the types of items in the auction.

22. A method as recited in claim 21 wherein a price is established for a first type of item and then prices for each other type of item are determined based on the price for the first type of item.

23. A method as recited in claim 22 wherein the determined prices are determined from a predetermined schedule.

24. A method as recited in claim 23 wherein establishing prices includes interpolating prices among prices included in the predetermined schedule.

25. A method as recited in claim 22 wherein processing the received bids includes calculating a sum of the quantity parameters for the first type of item.

26. A method as recited in claim 25 wherein processing the received bids includes comparing the calculated sum with an available quantity parameter.

27. A method as recited in claim 17 wherein the plurality of types of items are contracts for provision of a commodity covering different time periods, wherein the time periods of at least some of the contracts have at least some overlap.

28. A method as recited in claim 21 wherein the plurality of types of items are contracts for provision of a commodity covering different time periods, wherein the time periods of at least some of the contracts have at least some overlap.

29. A method as recited in claim 28 wherein processing the received bids includes calculating a sum of the quantity parameters for the overlapping contracts.

30. A method as recited in claim 29 wherein processing the received bids includes comparing the calculated sum with an available quantity parameter.

31. A method as recited in claim 17 wherein the relationship of the prices is based on a schedule.

32. A method as recited in claim 17 wherein the relationship of the prices is based on an algorithm.

33. A computer system for conducting an auction of a plurality of types of items among a plurality of bidders, wherein bids are received and an allocation of the items among the bidders is determined based on the bids, comprising:

receiving means for receiving bids comprising a quantity parameter for at least one of the types of items in the auction and a price parameter, and

processing means for processing the received bids to determine an allocation of the items among the bidders that is consistent with the bids in the event that an allocation consistent with the bids is possible, wherein the processing means includes implying means for implying prices from price parameters in the received bids based on a fixed relation among the prices of the plurality of types of items.

34. A system as recited in claim 33 which includes means for inviting additional bids in the event that an allocation of items consistent with the received bids is not possible, and means for applying the additional bids to the processing means for processing the additional bids to determine an allocation of the items among the bidders consistent with the additional bids in the event that an allocation consistent with the additional bids is possible.

35. A computer system as recited in claim 34 which further comprises means for constraining the additional bids from a given bidder by limiting the processing to only additional bids which satisfy a constraint.

36. A system as recited in claim 35 wherein the constraining means includes summation means for calculating a sum of quantity parameters for a group of types of items.

37. A system as recited in claim, 36 wherein the constraining means includes comparing means for comparing the calculated sum with a previous calculated sum for the same group of types of items.

38. A system as recited in claim 33 wherein the plurality of types of items are contracts for provision of a commodity covering different time periods, wherein the time periods for at least some of the contracts have at least some overlap.

39. A system as recited in claim 35 wherein the processing means includes summation means for calculating a sum of the quantity parameters for at least some of the overlapping contracts.

40. A system as recited in claim 39 wherein the processing means includes comparing means for comparing the calculated sum with an available quantity parameter.

41. A system as recited in claim 33 wherein the fixed relation of the implying means is based on a schedule.

42. A system as recited in claim 33 wherein the fixed relation of the implying means is based on an algorithm.

43. A computer implemented method for conducting an auction of a plurality of types of items among a plurality of bidders, wherein bids are received and an allocation of the items among the bidders is determined based on the bids, comprising:

receiving bids comprising a quantity parameter for at least one of the types of items in the auction and a price parameter, and

processing the received bids to determine an allocation of the items among the bidders consistent with the bids in the event that an allocation consistent with the bids is possible, wherein the processing includes implying prices from price parameters in the received bids based on a fixed relation among the prices of the plurality of types of items.

44. A method as recited in claim 43 which includes inviting additional bids in the event that an allocation of items consistent with the received bids is not possible, and processing the additional bids to determine an allocation of the items among the bidders consistent with the additional bids in the event that an allocation consistent with the additional bids is possible.

45. A method as recited in claim 44 which further comprises constraining the additional bids from a given bidder by considering, in the processing, only additional bids which satisfy a constraint.

46. A method as recited in claim 45 wherein the constraining includes calculating a sum of quantity parameters for a group of types of items.

47. A method as recited in claim 46 wherein the constraining includes comparing the calculated sum with a previous calculated sum for the same group of types of items.

48. A method as recited in claim 43 wherein the plurality of types of items are contracts for provision of a commodity covering different time periods, wherein the time periods for at least some of the contracts have at least some overlap.

49. A method as recited in claim 48 wherein the processing includes calculating a sum of the quantity parameters for at least some of the overlapping contracts.

50. A method as recited in claim 49 wherein the processing includes comparing the calculated sum with an available quantity parameter.

51. A method as recited in claim 43 wherein the fixed relation of the processing is determined by a schedule.

52. A method as recited in claim 43 wherein the fixed relation of the processing is determined by an algorithm.

53. A computer system for conducting an auction of at least one type of item among a plurality of bidders in a plurality of rounds, wherein bids are received and an allocation of the items among the bidders is determined by the computer system based on the bids, comprising:

establishing means for establishing starting prices and ending prices for each type of item in a plurality of rounds,

receiving means for receiving bids, wherein a bid comprises a quantity for at least one type of item and a price parameter signifying a percentage of the distance from the established starting prices to the established ending prices, and

processing means for processing the received bids to determine an allocation of the items among the bidders consistent with the bids in the event that an allocation consistent with the bids is possible, otherwise enabling the establishing means to alter the prices established for at least one type of item.

54. A system as recited in claim 53 where the establishing means includes means to maintain a relation among the established prices.

55. A system as recited in claim 54 wherein the means to maintain a relation among the established prices employs a schedule of prices.

56. A system as recited in claim 54 wherein the means to maintain a relation among the established prices employs an algorithm.

57. A system as recited in claim 53 which further comprises means for constraining the changes in a bid from a given bidder as the established prices are altered by considering, in the processing means, only bids which satisfy a constraint enforced by the means for constraining.

58. A system as recited in claim 58 wherein the constraining means includes summation means for calculating a sum of quantities bid for a group of types of items.

59. A system as recited in claim 59 wherein the constraining means includes comparing means for comparing the calculated sum with a previous calculated sum for the same group of types of items.

60. A computer implemented method for conducting an auction of at least one type of item among a plurality of bidders in a plurality of rounds, wherein bids are received and an allocation of the items among the bidders is determined based on the bids, comprising:

establishing starting prices and ending prices for each type of item in a plurality of rounds,

receiving bids, wherein a bid comprises a quantity for at least one type of item and a price parameter signifying a percentage of the distance from the established starting prices to the established ending prices, and

processing the received bids to determine an allocation of the items among the bidders consistent with the bids in the event that an allocation consistent with the bids is possible, otherwise altering the established prices for at least one type of item.

61. A method as recited in claim 61 where the establishing includes maintaining a relation among the established prices.

64. A method as recited in claim 61 which further comprises constraining the changes in a bid from a given bidder as the established prices are altered by considering, in the processing, only bids which satisfy a constraint.

62. A method as recited in claim 62 wherein the relation among the established prices is determined by a schedule.

63. A method as recited in claim 62 wherein the relation among the established prices is determined by an algorithm.

65. A method as recited in claim 65 wherein the constraining includes calculating a sum of quantities bid for a group of types of items.

66. A method as recited in claim 66 wherein the constraining includes comparing the calculated sum with a previous calculated sum for the same group of types of items.