Juntao Chen and Quanyan Zhu
In this paper, we aim to establish a holistic framework that integrates the cyber-physical layers of a cloud-enabled Internet of Controlled Things (IoCT) through the lens of contract theory. At the physical layer, the device uses cloud services to operate the system. The quality of cloud services is unknown to the device, and hence the device designs a menu of contracts to enable a reliable and incentive-compatible service. Based on the received contracts, the cloud service provider (SP) serves the device by determining its optimal cyber defense strategy. A contract-based FlipCloud game is used to assess the security risk and the cloud quality of service (QoS) under advanced persistent threats.