We present a framework for differential modulation with multiple antennas a
cross a continuously fading channel, where neither the transmitter nor the
receiver knows the fading coefficients. The framework can be seen as a natu
ral extension of standard differential, phase-shift keying commonly used in
single-antenna unknown-channel systems. We show how our differential frame
work links the unknown-channel system with a known-channel system, and we d
evelop performance design criteria. As a special case, we introduce a class
of diagonal signals where only one antenna is active at any time, and demo
nstrate how these signals may be used to achieve full transmitter diversity
and low probability of error.