A system and method for optimal allocation of bandwidth in a multichannel transmission channel. In an embodiment, a system may allocate a specific amount of bandwidth in the transmission channel in order to maximize the value of the data that is transmitted on a per-channel basis. Typically, a transmission channel has enough bandwidth to accommodate the minimum bandwidth for all data across all channels. The excess bandwidth may be allocated in an optimal manner so as to provide additional bandwidth for the most valuable channels. The maximum allocation of bandwidth is a point in which allocating additional bandwidth to a channel does not yield any additional value. Such an allocation may be accomplished using an iterative analysis of the available bandwidth and a microeconomic-based analysis of the subjective value of each channel.