Designing Two-Layer Optical Networks with Statistical Multiplexing

The possibility of adding multi-protocol label switching (MPLS) support to transport networks is considered an important opportunity by telecom carriers that want to add packet services and applications to their networks. However, the question that arises is whether it is suitable to have MPLS nodes just at the edge of the network to collect packet traffic from users, or also to introduce MPLS facilities on a subset of the core nodes in order to exploit packet switching flexibility and multiplexing, thus providing induction of a better bandwidth allocation. In this article, we address this complex decisional problem with the support of a mathematical programming approach. We consider two-layer networks where MPLS is overlaid on top of transport networks—synchronous digital hierarchy (SDH) or wavelength division multiplexing (WDM)—depending on the required link speed. The discussions’ decisions take into account the trade-off between the cost of adding MPLS support in the core nodes and the savings in the link bandwidth allocation due to the statistical multiplexing and the traffic grooming effects induced by MPLS nodes. The traffic matrix specifies for each point-to-point request a pair of values: a mean traffic value and an additional one. Using this traffic model, the effect of statistical multiplexing on a link allows the allocation of a capacity equal to the sum of all the mean values of the traffic demands routed on the link and only the highest additional one. The proposed approach is suitable to solve real instances in reasonable time.