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While social Virtual Reality (VR) applications such as Facebook Spaces are becoming popular, they are not compatible with classic mobile-or cloud-based solutions due to their processing of tremendous data and exchange of delay-sensitive metadata. Edge computing may fulfill these demands better, but it is still an open problem to deploy social VR applications in an edge infrastructure while supporting economic operations of the edge clouds and satisfactory quality-of-service for the users. This paper presents the first formal study of this problem. We model and formulate a combinatorial optimization problem that captures all intertwined goals. We propose ITEM, an iterative algorithm with fast and big “moves” where in each iteration, we construct a graph to encode all the costs and convert the cost optimization into a graph cut problem. By obtaining the minimum s-t cut via existing max-flow algorithms, we can …