Dynamic break even pricing for cloud federation

Pricing in the Cloud Computing environment remains an important issue for the Cloud Service Providers (CSPs). It depends on the costs of the services and the market status to come up with the appropriate price. CSPs should know the Break even pricing (BEPrice) at which the business will earn zero profits on a sale to be able to price their services. In the context of the Easi-Clouds [12], a European ITEA 2 research project, we consider federated cloud environment where multiple CSPs can cooperate to sell or buy resources in the coalition. In this paper, we propose multiple business scenarios for the CSPs. We model each proposed scenario based on the system parameters into mathematical equations to evaluate the Break even pricing dynamically on hourly basis. Our decision equations characterize the pricing of the CSP´s services.