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We study and formulate arbitrage in display advertising. Real-Time Bidding (RTB) mimics stock spot exchanges and utilises computers to algorithmically buy display ads per impression via a real-time auction. Despite the new automation, the…

Computer Science and Game Theory · Computer Science 2015-06-15 Weinan Zhang , Jun Wang

Bipartite b-matching, where agents on one side of a market are matched to one or more agents or items on the other, is a classical model that is used in myriad application areas such as healthcare, advertising, education, and general…

Artificial Intelligence · Computer Science 2020-02-13 Saba Ahmadi , Faez Ahmed , John P. Dickerson , Mark Fuge , Samir Khuller

A seminal result of Bulow and Klemperer [1989] demonstrates the power of competition for extracting revenue: when selling a single item to $n$ bidders whose values are drawn i.i.d. from a regular distribution, the simple welfare-maximizing…

Computer Science and Game Theory · Computer Science 2016-12-30 Alon Eden , Michal Feldman , Ophir Friedler , Inbal Talgam-Cohen , S. Matthew Weinberg

For decades, Simultaneous Ascending Auction (SAA) has been the most widely used mechanism for spectrum auctions, and it has recently gained popularity for allocating 5G licenses in many countries. Despite its relatively simple rules, SAA…

Computer Science and Game Theory · Computer Science 2024-07-17 Alexandre Pacaud , Aurélien Bechler , Marceau Coupechoux

In this paper, we initiate the study of the multiplicative bidding language adopted by major Internet search companies. In multiplicative bidding, the effective bid on a particular search auction is the product of a base bid and bid…

Data Structures and Algorithms · Computer Science 2014-04-29 MohammadHossein Bateni , Jon Feldman , Vahab Mirrokni , Sam Chiu-wai Wong

The standard framework of online bidding algorithm design assumes that the seller commits himself to faithfully implementing the rules of the adopted auction. However, the seller may attempt to cheat in execution to increase his revenue if…

Computer Science and Game Theory · Computer Science 2023-11-28 Qian Wang , Xuanzhi Xia , Zongjun Yang , Xiaotie Deng , Yuqing Kong , Zhilin Zhang , Liang Wang , Chuan Yu , Jian Xu , Bo Zheng

Simultaneous ascending auctions present agents with the exposure problem: bidding to acquire a bundle risks the possibility of obtaining an undesired subset of the goods. Auction theory provides little guidance for dealing with this…

Computer Science and Game Theory · Computer Science 2012-07-09 Anna Osepayshvili , Michael P. Wellman , Daniel Reeves , Jeffrey K. MacKie-Mason

We design simple mechanisms to approximate the Gains from Trade (GFT) in two-sided markets with multiple unit-supply sellers and multiple unit-demand buyers. A classical impossibility result by Myerson and Satterthwaite showed that even…

Computer Science and Game Theory · Computer Science 2017-06-20 Johannes Brustle , Yang Cai , Fa Wu , Mingfei Zhao

We design fair sponsored search auctions that achieve a near-optimal tradeoff between fairness and quality. Our work builds upon the model and auction design of Chawla and Jagadeesan \cite{CJ22}, who considered the special case of a single…

Computer Science and Game Theory · Computer Science 2022-04-11 Shuchi Chawla , Rojin Rezvan , Nathaniel Sauerberg

We study the communication complexity of dominant strategy implementations of combinatorial auctions. We start with two domains that are generally considered "easy": multi-unit auctions with decreasing marginal values and combinatorial…

Computer Science and Game Theory · Computer Science 2022-06-02 Shahar Dobzinski , Shiri Ron , Jan Vondrák

We present Bayesian Binary Search (BBS), a novel probabilistic variant of the classical binary search/bisection algorithm. BBS leverages machine learning/statistical techniques to estimate the probability density of the search space and…

Machine Learning · Computer Science 2024-10-03 Vikash Singh , Matthew Khanzadeh , Vincent Davis , Harrison Rush , Emanuele Rossi , Jesse Shrader , Pietro Lio

In this paper, we propose a bid optimizer for sponsored keyword search auctions which leads to better retention of advertisers by yielding attractive utilities to the advertisers without decreasing the revenue to the search engine. The bid…

Computer Science and Game Theory · Computer Science 2009-06-30 Sriram Somanchi , Chaitanya Nittala , Narahari Yadati

In this paper, we investigate the problem about how to bid in repeated contextual first price auctions. We consider a single bidder (learner) who repeatedly bids in the first price auctions: at each time $t$, the learner observes a context…

Machine Learning · Computer Science 2021-11-11 Ashwinkumar Badanidiyuru , Zhe Feng , Guru Guruganesh

$\newcommand{\eps}{\varepsilon}$We present an auction algorithm using multiplicative instead of constant weight updates to compute a $(1-\eps)$-approximate maximum weight matching (MWM) in a bipartite graph with $n$ vertices and $m$ edges…

Data Structures and Algorithms · Computer Science 2024-01-25 Da Wei Zheng , Monika Henzinger

The majority of online marketplaces offer promotion programs to sellers to acquire additional customers for their products. These programs typically allow sellers to allocate advertising budgets to promote their products, with higher…

Computer Science and Game Theory · Computer Science 2025-02-05 Anastasiia Soboleva , Alexander Ledovsky , Yuriy Dorn , Egor Samosvat , Andrey Tikhanov , Fyodor Prazdnikov

Additive smooth models, such as Generalized additive models (GAMs) of location, scale, and shape (GAMLSS), are a popular choice for modeling experimental data. However, software available to fit such models is usually not tailored…

Methodology · Statistics 2025-06-17 Joshua Krause , Jelmer P. Borst , Jacolien van Rij

We model a procurement scenario in which two \textit{imperfect} bidders act simultaneously on behalf of a single buyer, a configuration common in display advertising and referred to as \textit{side-by-side bidding} but largely unexplored in…

Computer Science and Game Theory · Computer Science 2025-12-05 Benjamin Heymann

Existing auto-bidding algorithms in digital advertising often treat the value of an ad opportunity as the revenue obtained when an ad is shown and/or clicked, and bid accordingly. This can lead to wasteful spending because the true value is…

Computer Science and Game Theory · Computer Science 2026-05-05 Yuxiao Wen , Zihao Hu , Yanjun Han , Yuan Yao , Zhengyuan Zhou

We study regret minimization in repeated first-price auctions (FPAs), where a bidder observes only the realized outcome after each auction -- win or loss. This setup reflects practical scenarios in online display advertising where the…

Machine Learning · Computer Science 2026-03-19 Yuxiao Wen , Yanjun Han , Zhengyuan Zhou

Motivated by Carbon Emissions Trading Schemes, Treasury Auctions, Procurement Auctions, and Wholesale Electricity Markets, which all involve the auctioning of homogeneous multiple units, we consider the problem of learning how to bid in…

Computer Science and Game Theory · Computer Science 2024-11-12 Rigel Galgana , Negin Golrezaei
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