Auction method and apparatus for electronic commerce

• US 6,892,186 B1
• Filed: 09/13/2000
• Issued: 05/10/2005
• Est. Priority Date: 09/15/1999
• Status: Expired due to Fees

• Current Assignee: Hewlett Packard Enterprise Development LP (Hewlett-Packard Enterprise Company)
• Original Assignee: Hewlett-Packard Development Company, L.P. (HP Inc.)
• Inventors: Preist, Christopher William
• Primary Examiner(s): McClellan, James S.
• Application Number:
  US09/661,463
• Time in Patent Office: 1,700 Days
• Field of Search: 705/37, 705/26, 705/35
• US Class Current: 705/37
• CPC Class Codes: G06Q 30/08 Auctions
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange

Abstract

An electronic trading entity (400) comprises a computing device having a processor, memory, user interface, and communications functionality, the computer entity comprising an algorithm (700) for monitoring a plurality of auction entities remotely over the internet; a algorithm (701) for calculating bids and for purchase of goods/services with a plurality of auction entities; an algorithm (702) for selecting individual auction entities with which to trade; a web browser (506) to allow a user to search for auction entities and add these to a stored list of entities at the bidding device. Bid calculation and offer calculation algorithms operate to optimally place bids at a lowest overall cost to the trading entity, or place offers with the object of obtaining the highest overall monetary figures for goods or services for sale by the trading entity.

Claims

1. A computer program operating in a trading device, the computer program comprising:

logic for selecting a plurality of auction entities operating auctions simultaneously that include similar goods or services for trading;

logic for monitoring at least active bids of each of the goods or services from each of the plurality of auction entities;

logic for processing the monitored active bids plus a respective bid increment to determine a plurality of bids, each bid for outbidding each of the monitored active bids respectively;

logic for selecting a lowest bid from the determined bids, wherein when at least two of the plurality of the bids are equal, the logic for selecting further comprises logic for selecting the lowest bid having an earliest auction finish time; and

logic for communicating the selected bid to the respective auction entity.

2. The computer program of claim 1, wherein the logic for communicating further comprises:

logic for determining from the active bids whether the active bid on each of the auction entities has been placed by the trading device or by another party; and

logic for submitting the selected bid to the respective auction entity only when the active bid on each of the auction entities has been placed by the other party.

3. The computer program of claim 1, further comprising logic for receiving user input regarding a maximum price limit P_MAX establishing a price above which the trading device will not bid.

4. The computer program of claim 3, wherein the logic for processing determines whether the selected bid exceeds P_MAX and instructs the trading device not to bid when the selected bid exceeds P_MAX.

5. The computer program of claim 1, further comprising logic for receiving user input regarding a referral price limit P_REF establishing a price above which the trading device refers back to the user for receiving further bidding instructions.

6. The computer program of claim 5, wherein the logic for processing determines whether the lowest possible bid exceeds P_REF and refers back to the user when the lowest possible bid exceeds P_REF.

7. The computer program of claim 1, wherein:

the logic for selecting selects the plurality of auction entities further comprises logic for selecting a set of said similar goods or services for trading, wherein the set corresponds to a specified number of goods or services to be acquired;

the logic for processing further comprises logic for determining a set of selected bids for outbidding a set of active bids on the auction entities, the set of active bids corresponding to a group of the active bids having a lowest total cost; and

the logic for submitting the selected bid further comprises logic for submitting the set of selected bids to the respective auction entities.

8. The computer program of claim 7, further comprising:

logic for receiving from a user a maximum price limit per good or service to establish a total price of the set of said goods or services above which the trading device will not bid for the set of said similar goods or services.

9. The computer program of claim 1, wherein the similar goods or services for trading comprises at least one lot of similarly manufactured units.

10. The computer program of claim 1, further comprising logic for determining auction finish times of the respective auction entities.

11. The computer program of claim 10, further comprising logic for calculating a potential bidding outcome of the respective auction entities based on the auction finish times.

12. The computer program of claim 1, wherein the logic for monitoring further comprises logic for monitoring a finish time of the active bids.

13. The computer program of claim 1, wherein the logic for monitoring further comprises logic for monitoring bid identifier data of the active bids.

14. The computer program of claim 1, wherein the logic for monitoring further comprises logic for monitoring auction identification data of the active bids.

15. The computer program of claim 1, wherein the logic for monitoring further comprises logic for monitoring lot identification data of the active bids.

16. The computer program of claim 1, wherein the logic for monitoring further comprises logic for monitoring description information of the active bids.

17. The computer program of claim 1, wherein the logic for monitoring further comprises logic for monitoring a monetary amount of the active bids.

18. The computer program of claim 1, wherein the logic for monitoring further comprises logic for monitoring a status indicator of the active bids.

19. The computer program of claim 1, wherein the computer program operates on a real time basis wherein the logic for monitoring, processing, selecting and communicating is repeated such that at least one new bid is placed after a previously communicated selected bid is overridden by a competing bid for a third party.

20. A method comprising:

receiving a specification of multiple auction entities residing on websites, the auction entities accessible via a network, each auction entity including an item open for bid similar to an item simultaneously open for bid on the other auction entities;

monitoring a highest bid for the item on each auction entity;

determining a lowest possible bid to outbid one of the highest bids on a respective auction entity, wherein determining the lowest possible bid further comprises;

comparing outbid values for each auction entity, each outbid value being sufficient to outbid the highest bid on the respective auction entity and being based on the highest bid and a minimum bid increment for each auction entity;

selecting the lowest outbid value;

determining whether the lowest outbid value corresponds to more than one auction entity; and

when the lowest outbid value corresponds to more than one auction entity, selecting the lowest outbid value from the auction entity with an earliest termination time; and

placing said lowest possible bid with the respective auction entity.

21. The method of claim 20, wherein monitoring the highest bid further comprises determining whether one of the highest bids corresponds to a bid placed by said placing said lowest possible bid.

22. The method of claim 20, wherein selecting multiple auction entities further comprises receiving a user request to select the auction entities.

23. The method of claim 20, wherein selecting multiple auction entities further comprises searching a network for the auction entities.

24. The method of claim 20, further comprising:

enabling a user to select an auction in which to participate.

25. The method of claim 20, further comprising:

ensuring that a user has a leading bid in one of the auction entities.

26. The method of claim 20, wherein the receiving, monitoring, determining, and placing is repeated such that at least one new bid is placed after a previously placed lowest possible bid is overridden by a competing bid placed by a third party.

27. A trading entity in a trading system, the trading entity comprising:

a first module configured to select a plurality of auction entities, each auction entity providing a good or service up for bid that is similar to a good or service simultaneously up for bid on the other auction entities;

a second module configured to monitor the highest active bid for the similar good or service on each auction entity;

a third module configured to process the highest active bids to calculate a lowest possible bid for outbidding one of the highest active bids; and

a fourth module configured to receive a user input indicating a quantity Q of the similar goods or services on which to bid, wherein;

each auction entity (i) provides a number N_i of the similar goods or services up for bid;

the second module is further configured to monitor the N_i highest active bids on each auction entity; and

the third module is further configured to process the N_i highest active bids on each auction entity to calculate the Q lowest possible bids for outbidding the highest active bids on the auction entities.

28. The trading entity of claim 27, wherein the third module is further configured to calculate said lowest possible bid based on the highest active bid and a minimum bid increment for the good or service on each auction entity.

29. The trading entity of claim 27, wherein the third module is further configured to ensure that the user has Q leading bids on the auction entities.

30. The trading entity of claim 27, wherein the first module, second module, third module and fourth module operate on a real time repeated basis such that at least one new bid is placed after a previously submitted lowest possible bid is overridden by a competing bid for a third party.

31. A trading entity in a trading system, the trading entity comprising:

a first module configured to select a plurality of auction entities, each auction entity providing a good or service up for bid that is similar to a good or service simultaneously up for bid on the other auction entities;

a second module configured to monitor active bids for each of the similar good or service on each auction entity;

a third module configured to process the monitored active bids plus a respective bid increment to determine a plurality of bids, each bid for outbidding each of the monitored active bids respectively;

a fourth module configured to select a lowest bid from the determined bids, wherein when at least two of the plurality of bids are equal, the logic for selecting further comprises logic for selecting the lowest bid having an earliest auction finish time.

32. The trading entity of claim 31, further comprising a sixth module for placing the lowest bid with the respective auction entity.