The spectral efficiency of a millimeter wave (MMW) communication system (100) is enhanced by using multiple receive (116a, 116b . . . 116r) and transmit antenna elements (114a, 114b . . . 114t), arranged in arrays. Each of the receive antenna elements (116a, 116b . . . 116r) receives the signals transmitted from all of the transmit antenna elements (114a, 114b. . . 114t) with different degrees of phase shift. The signals which are received are combined in a one channel and substantially cancels out all others, thereby achieving channel separation. The spectral efficiency increases linearly with the number of antenna elements (per array). The spectral efficiency of an array can further be increased by using dual polarization antenna elements and techniques.