Auction software

Auction software is application software, that can either be deployed on a desktop, on a web server^[1][2] or as a smart contract^[3] on a blockchain virtual machine. This software is used by auctioneers and participants of online auctions such as eBay. Smart contracts replace an auctioneer's server, if the auctioneer is not trusted.^[4]

Online Auction companies have opened up their applications to third-party application developers to extend the capabilities and increase revenue. API interfaces were developed using XML which enable third-party developers to build applications that use the back-end of the online auction.

Economic experiments

Economists use special software to study human behavior in auctions by running auctions in a lab. There are diverse software tools for laboratory economic experiments, which allow fast programming of auctions. For instance, z-Tree programming language allows programming an experimental double auction in less than a day.^[5] This practise led to appearance of multiple scientific publications exposing results for generalized second price auctions, Dutch auctions, all-pay auctions and other auction types.^[6][7][8]

Auction websites

See also: Category:Online auction websites

Auction websites reside in three categories according to the business model. These are B2B (Business to Business), B2C (Business to Customer), and C2C (Customer to Customer).^[9] eBay website serves all three business models.^[10][11] SAP Ariba website is dedicated to B2B.^[12][13][14] Ariba patented its auction software technology and won a case worth over $6M against Emptoris Inc. in 2009.^[15]

Smart-contract based auction

Blockchains with smart contract like Ethereum functionality allow definition, execution and enforcement of auctions between untrusted parties without the involvement of a trusted third party.^[16] A smart contract is code that is executed on top of the blockchain. Blockchain auction ensure transparency and prevent cheating by auctioneers and collusion by bidders.^[17]

Auction sniping software

Auction sniping can be done by software on the bidder's computer,^[18] or by an online sniping service.^[19][20] eBay Germany banned automated sniping services in 2002,^[21] but the ban was declared illegal by Berlin's County Court, and revoked.^[22][23]

General game playing

General game playing was also proposed for trading agents in supply chain management thereunder price negotiation in online auctions from 2003 on.^{[24][25][26][27]} Hereby, an auction can be described in a game description language.^[28]