A link budget is accounting of all of the gains and losses from the transmitter, through the medium (free space, cable, waveguide, fiber, etc.) to the receiver in a telecommunication system. It accounts for the attenuation of the transmitted signal due to propagation, as well as the antenna gains, feedline and miscellaneous losses. Randomly varying channel gains such as fading are taken into account by adding some margin depending on the anticipated severity of its effects. The amount of margin required can be reduced by the use of mitigating techniques such as antenna diversity or frequency hopping.
A simple link budget equation looks like this:
Received Power (dBm) = Transmitted Power (dBm) + Gains (dB) − Losses (dB)
Note that decibels are logarithmic measurements, so adding decibels is equivalent to multiplying the actual numeric ratios.
For a line-of-sight radio system, the primary source of loss is the decrease of the signal power due to uniform propagation, proportional to the inverse square of the distance (geometric spreading).
- Transmitting antennas are for the most part not isotropic aka omni-directional.
- Completely omni-directional antennas are rare in telecommunication systems, so almost every link budget equation must consider antenna gain.
- Transmitting antennas typically concentrate the signal power in a favored direction, normally that in which the receiving antenna is placed.
- Transmitter power is effectively increased (in the direction of highest antenna gain). This systemic gain is expressed by including the antenna gain in the link budget.
- The receiving antenna is also typically directional, and when properly oriented collects more power than an isotropic antenna would; as a consequence, the receiving antenna gain (in decibels from isotropic, dBi) adds to the received power.
- The antenna gains (transmitting or receiving) are scaled by the wavelength of the radiation in question. This step may not be required if adequate systemic link budgets are achieved.
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