Differential encoding technique for multi-antenna systems with correlated Rayleigh fading channels

Differential space-time modulation (DSTM) techniques developed for multi-antenna systems allow the receiver to detect the transmitted signal without the knowledge of the fading channels. It can be viewed as an extension of differential phase-shift keying (DPSK) in single antenna systems. In this paper, we derived the pairwise error probability upper bound of differential space-time coded systems with spatially correlated Rayleigh fading channels. Based on the performance analysis, we develop a novel DSTM scheme which can exploit the spatial correlation in the fading channels. It is found that by carefully designing the initial transmitted signal matrix, the performance of the differential space-time coded systems can be significantly improved.