A distributed smart antenna system including an antenna array having N antenna elements, N radio frequency tranceivers, and feeder cables connecting both. N antenna elements and N radio frequency transceivers are grouped according to cell coverage range and traffic volume. Antenna element groups are then distributed at different places of coverage within the range of the same wireless communication system base station, including different buildings or different floors of same building; however, the same baseband digital signal processor is used. Each antenna element group can have one to M antenna elements. The system enables improved cell coverage, increased system capacity, and decreased system cost.