Distributed interference pricing for the MIMO interference channel

We study distributed algorithms for updating transmit precoding matrices for a two-user Multi-Input/Multi-Output (MIMO) interference channel. Our objective is to maximize the sum rate with linear Minimum Mean Squared Error (MMSE) receivers, treating the interference as additive Gaussian noise. An iterative approach is considered in which given a set of precoding matrices and powers, each receiver announces an interference price (marginal decrease in rate due to an increase in interference) for each received beam, corresponding to a column of the precoding matrix. Given the interference prices from the neighboring receiver, and also knowledge of the appropriate cross-channel matrices, the transmitter can then update the beams and powers to maximize the rate minus the interference cost. Variations on this approach are presented in which beams are added sequentially (and then fixed), and in which all beams and associated powers are adjusted at each iteration. Numerical results are presented, which compare these algorithms with iterative water-filling (which requires no information exchange), and a centralized optimization algorithm, which finds locally optimal solutions. Our results show that the distributed algorithms perform close to the centralized algorithm, and by adapting the rank of the precoder matrices, achieve the optimal high-SNR slope.