The channel matrix has entries , with nonnegative entries and each row summing to one. For an input distribution , it induces the joint law . Its capacity in bits per use is
On finite alphabets the maximum exists by continuity on the compact probability simplex.
Gibbs inequality makes mutual information nonnegative, so . The two conditional-Shannon entropy expressions give
Each Shannon entropy is bounded by the base-two logarithm of its alphabet size. Maximizing over the input distribution therefore gives for the smaller size .
Exchanging the first and third inputs, together with the corresponding outputs, leaves the channel unchanged. Concavity therefore shows that averaging an input distribution with its exchanged distribution cannot reduce mutual information. We may take input probabilities .
For , put and , so . The output distribution is and the mean conditional output Shannon entropy is . Hence
Its strict concavity gives the unique stationary value . This lies in the allowed interval: for , the derivative at is , while it tends to positive infinity at zero. At the stationary value is directly. Consequently an achieving input distribution is
The resulting capacity is . In particular at , and
At all outputs are the middle symbol, so and every input distribution achieves it; the divided formula is not used at that endpoint.
Figure 1.
The maximizing input and capacity as noise varies
. The two outer input probabilities coincide by symmetry. The formulas apply below p equal to one; at complete collapse every input distribution attains zero capacity. Details.

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