Multiple-input multiple-output (MIMO) Rayleigh fading channel with truncated Laplacian azimuth power spectrum (APS) is studied. By using the power correlation matrix of MIMO channel model and the modified Jakes simulator, into which with random phases are inserted, the effect of the azimuth spread (AS), angle of departure (AOD) and angle of arrival (AOA) on the spatial correlation coefficient and channel capacity are investigated. Numerical results show that larger AS generates smaller spatial correlation coefficient amplitude, while larger average AOD or AOA produces larger spatial correlation coefficient amplitude. The average capacity variation is comprehensively dominated by the average AOD, AOA and AS
