Cellular network performance can significantly benefit from directdevice-to-device (D2D) communication, but interference from cochannel D2Dcommunication limits the performance gain. In hybrid networks consisting of D2Dand cellular links, finding the optimal interference management is challenging.In particular, we show that the problem of maximizing network throughput whileguaranteeing predefined service levels to cellular users is non- convex andhence intractable. Instead, we adopt a distributed approach that iscomputationally extremely efficient, and requires minimal coordination,communication and cooperation among the nodes. The key algorithmic idea is asignaling mechanism that can be seen as a fictional pricing mechanism, that thebase stations optimize and transmit to the D2D users, who then play a bestresponse (i.e., selfishly) to this signal. Numerical results show that ouralgorithms converge quickly, have low overhead, and achieve a significantthroughput gain, while maintaining the quality of cellular links at apredefined service level.
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