In this paper, we propose a new channel borrowing technique employing power control and antenna diversity to increase system usage in TDMA/FDMA based personal communications. This technique allows borrowing of spare channels in an aggressive way. To achieve a desired quality level, a cluster center gives to its base stations estimated information on the quality of spare channels. The base station selects the best channel in its list of spare channels. We also develop a distance-specific model for indoor propagation which is suitable for analyzing an indoor PCN system. Using this model, the performance of the channel borrowing system with various antenna diversities is evaluated. Simulation experiments show a significant reduction in blocking probability compared to the fixed channel assignment strategy.<<ETX>>
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