System and Method for a Dynamic Auction with Package Bidding

Abstract

The present invention is a system and method for a computer-implemented auction, based on a system with multiple bidder and auctioneer computers or terminals ( 20 a - n ,30 ) communicating with the server ( 10 ) over a network ( 40 ). The computers ( 20 a - n ) are employed by bidders, the computer ( 30 ) is employed by the auctioner, and the server ( 10 ) is the auction computer. That server consist of a CPU ( 11 ), memory ( 12 ), a data storage device ( 13 ), a communication interface ( 140 ), a clock ( 150 ), an operating system ( 16 ), and an auction program ( 17 ). In one embodiment, the system architectura is as a client-server system: the auction computer is a server; and the bidder and auctioneer are clients.

1 .- 200 . (canceled) 
     
     
         201 . A proxy agent mediating between a bidder and an auction server in a computer-implemented auction for a set of at least two items, comprising:
 means for receiving bid information relating to the valuation for one or more subsets of items from a bidder and auction state information from the auction server; and   means for sending bids to the auction server, where the bids sent to the auction server are directed to one or more of said subsets of items and are derived from the bid information.   
     
     
         202 . A proxy agent as recited in  claim 201  wherein the means for sending bids responds to current bid information only if responding to the current bid information is enabled by the auction state information. 
     
     
         203 . A proxy agent as recited in  claim 201  wherein the means for sending bids selects a bid to have a price parameter for a subset of said one or more subsets which is less than or equal to the bidder's valuation. 
     
     
         204 . A proxy agent as recited in  claim 201  wherein the means for sending bids generates a bid by selecting a subset of said one or more subsets to maximize a quantity which is a difference between a bidder's valuation for the subset and a minimum acceptable bid for the subset. 
     
     
         205 . A proxy agent as recited in  claim 204  wherein the minimum acceptable bid for a subset is determined from auction state information as a multiplicative product of a constant greater than unity and an existing high bid for the set. 
     
     
         206 . A proxy agent as recited in  claim 201  wherein the means for receiving bid information receives a valuation parameter for at least one subset of items from said one or more subsets and a budget parameter. 
     
     
         207 . A proxy agent as recited in  claim 206  wherein the means for sending bids generates a bid by selecting a subset to maximize a quantity which is a difference between a bidder's valuation for the subset and a minimum acceptable bid for the subset, subject to a budget limitation expressed by the budget parameter. 
     
     
         208 . A proxy agent as recited in  claim 201  wherein the means for sending bids generates a bid by selecting a subset of said one or more subsets to maximize a quantity which is a difference between a maximum acceptable bid for the subset and a bidder's valuation for the subset. 
     
     
         209 . A proxy agent as recited in  claim 206  wherein the means for sending bids generates a bid by selecting a subset to maximize a quantity which is a difference between a maximum acceptable bid for the subset and a bidder's valuation for the subset, subject to a budget limitation expressed by the budget parameter. 
     
     
         210 - 227 . (canceled) 
     
     
         228 . A computer system for conducting an auction for a plurality of items among a plurality of bidders, wherein bids are received at the computer system and an allocation of at least one of the items to a bidder is determined by the computer system based on the bids, comprising:
 means for receiving at the computer system a plurality of bids for the items from at least two different bidders, wherein a bid is based, at least in part, on a budget parameter; and   means for determining at the computer system an allocation of at least one of the items to a bidder based on the bids.   
     
     
         229 . A computer system as recited in  claim 228  wherein the auction is a dynamic package auction, the computer system further including:
 means for limiting a total value of bids from a bidder, used in allocating items, in dependence on a relation between the total value of bids from the bidder and the budget parameter. 
 
     
     
         230 . A computer system as recited in  claim 229  wherein the computer system limits the total value of bids. 
     
     
         231 . A computer system as recited in  claim 229  wherein the computer system includes at least one agent, including:
 means for receiving the budget parameter, and 
 means for generating the bids including means for limiting a total value of the bids. 
 
     
     
         232 . A computer system as recited in  claim 228  wherein the auction is a dynamic package auction, the computer system further including:
 means for limiting a bid in dependence on a relation between the bid and the budget parameter. 
 
     
     
         233 . A computer system as recited in  claim 230  wherein the computer system includes at least one agent, including:
 means for receiving the budget parameter, and 
 means for generating the bids including means for limiting the bids. 
 
     
     
         234 . A computer system as recited in  claim 228  wherein the auction is a dynamic package auction and the auction employs proxy bidding and the computer system includes at least one agent for generating the proxy bids, said bids are proxy bids received from agents, wherein the agent includes:
 means conditionally responsive to the budget parameter provided by a bidder. 
 
     
     
         235 . A computer system as recited in  claim 234  where the agent includes:
 means for limiting a bid in dependence on the budget parameter. 
 
     
     
         236 . A method for conducting an auction of a plurality of items among a plurality of bidders, said method implemented in a system comprising an auction computer and a network interface, wherein the system receives bids and determines an allocation of at least one of the items to a bidder based on the bids, said method comprising:
 receiving, via the network interface, a plurality of bids for the items from at least two different bidders, wherein a bid includes a budget parameter; and   determining, at the auction computer, an allocation of at least one of the items to a bidder based on the bids.   
     
     
         237 . A method as recited in  claim 236  wherein the auction is a dynamic package auction and further including:
 limiting a total value of bids from a bidder, used in allocating items, in dependence on the budget parameter. 
 
     
     
         238 . A method as recited in  claim 237  wherein the auction computer limits the total value of bids. 
     
     
         239 . A method as recited in  claim 237  wherein the budget parameter is provided to an agent which generates the bids for the auction computer and wherein the agent limits the total value of the bids. 
     
     
         240 . A method as in  claim 236  wherein the auction is a dynamic package auction and further including:
 limiting a bid in dependence on the budget parameter. 
 
     
     
         241 . A method as recited in  claim 240  wherein the budget parameter is provided to an agent which generates the bids for the auction computer and wherein the agent limits the value of the bid. 
     
     
         242 . A method as recited in  claim 236  wherein the auction is a dynamic package auction and the auction employs proxy bidding and said bids are proxy bids received from agents, wherein
 said budget parameter is provided to said agent by a bidder, each agent conditionally responsive to said budget parameter. 
 
     
     
         243 . A method as recited in  claim 242  further including:
 limiting a bid in dependence on the budget parameter. 
 
     
     
         244 . A non-transitory computer readable medium storing a sequence of instructions which, when executed, implements a method for conducting an auction of a plurality of items among a plurality of bidders, wherein a system comprising an auction computer and a network interface receives bids and determines an allocation of at least one of the items to a bidder based on the bids, said method comprising:
 receiving, via the network interface, a plurality of bids for the items from at least two different bidders, wherein a bid includes a budget parameter; and   determining, at the auction computer, an allocation of at least one of the items to a bidder based on the bids.   
     
     
         245 . A computer readable medium as recited in  claim 244  wherein the auction is a dynamic package auction and further including:
 limiting a total value of bids from a bidder, used in allocating items, in dependence on the budget parameter. 
 
     
     
         246 . A computer readable medium as recited in  claim 245  wherein the auction computer limits the total value of bids. 
     
     
         247 . A computer readable medium as recited in  claim 245  wherein the budget parameter is provided to an agent which generates the bids for the auction computer and wherein the agent limits the total value of the bids. 
     
     
         248 . A computer readable medium as in  claim 244  wherein the auction is a dynamic package auction and further including:
 limiting a bid in dependence on the budget parameter. 
 
     
     
         249 . A computer readable medium as recited in  claim 248  wherein the budget parameter is provided to an agent which generates the bids for the auction computer and wherein the agent limits the value of the bid. 
     
     
         250 . A computer readable medium as recited in  claim 244  wherein the auction is a dynamic package auction and the auction employs proxy bidding and said bids are proxy bids received from agents, wherein
 said budget parameter is provided to said agent by a bidder, each agent conditionally responsive to said budget parameter. 
 
     
     
         251 . A computer readable medium as recited in  claim 250  further including:
 limiting a bid in dependence on the budget parameter.