Channel efficiency in digital cellular communication systems

The formula for cellular radio capacity is modified to explicitly include channel efficiency. The effect of a varying carrier-to-interference ratio is considered. Higher carrier power can lead to higher bit-rates per hertz of bandwidth for individual channels, but it reduces the frequency reuse. The tradeoff between these two effects is made explicit. It is seen that there is a point of diminishing returns beyond which the advantage of higher channel efficiency is outweighed by reduced frequency reuse. There should be an optimum carrier-to-interference ratio that maximizes the capacity as measured in number of channels per cell