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This study investigates a hierarchized Steiner tree problem in telecommunication networks. In such networks, users must be connected to capacitated hubs. Additionally, selected hubs must be connected to each other and to extra hubs, if necessary, by considering the latency of the resultant network. A connection between hubs can be considered to be a Steiner tree. This Steiner tree problem is modeled as a bi-level mathematical programming problem that considers two decision levels. In the upper-level, the allocation of users to hubs is performed to minimize the total network connection cost. The lower-level minimizes the user latency concerning the information that flows through the capacitated hubs. Further, two co-evolutionary schemes are developed to solve this bi-level model. The first scheme is an individual–population approach, whereas the second scheme is the traditional population–population approach. The first proposed algorithm exploits the structure of the problem by employing parallel computing in one of the populations. Numerical results depict the effectiveness of the proposed algorithms when the lower-level problem cannot be optimally solved efficiently. Furthermore, the advantages of the proposed schemes over an evolutionary one are exhibited. Finally, the hybridization of both co-evolutionary schemes is implemented to improve the semi-feasible solutions obtained by the second scheme, showing its effectiveness to solve the problem.
•A novel bi-level Steiner tree problem is studied.•Two co-evolutionary algorithms are proposed to obtain semi-feasible bilevel solutions.•The novelty of the first proposed algorithm is addressed by using parallel computing.•Drawbacks of the second proposed algorithm are addressed to improve results.•A fair comparison among the proposed co-evolutionary algorithms is presented.