This paper investigates the potential capacity improvements madepossible through the use of dynamic cell sizing in a cellular network.The purpose of dynamic cell sizing is to reduce cell radii and thusenable in-cell users to increase their transmit powers. The use ofhigher transmit powers suppresses intercell interference and leads to anoverall increase in capacity. This paper discusses the degree ofcapacity enhancement that can be achieved in this manner. The analysisindicates that the capacity of a single cell can be increased by as muchas 38%. However, under uniform traffic conditions, this results in aratio of supported-to-offered traffic of just 0.2, which is clearlyunsatisfactory. Dynamic cell sizing performs significantly better inhot-spot conditions, where the in-cell traffic follows a normaldistribution with the highest density in close proximity to the basestation. The ratio of supported-to-offered traffic under theseconditions was found to rise to 0.6 to 1.0 depending on the trafficstandard deviation and the location of the hot spot
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