In this paper, performance of smart antenna in multipath macrocell environment is studied. The system capacity and coverage of TD-SCDMA systems in the macrocell environment are studied and simulated without/with base station smart antenna which is used for dynamic channel allocation, beam forming and power control. System capacity and coverage of TD-SCDMA systems are found to be enlarged greatly by smart antenna. There exist many tradeoff issues that deserve careful planning between cell coverage, capacity, mobile user’s maximum transmit power and number of smart antenna elements. For areas with different mobile user density, smart antennas with different elements are to be implemented to reduce costs.