We present herein an integrated and proactive capacity management solution for multi-service cellular networks. The proposed system, NetOptimize TM , continuously monitors the network and, upon detecting or anticipating QoS (Quality of Service) violations, determines an optimal channel allocation plan that ensures the prescribed QoS while maximizing revenue. Functionality of the system within the network management infrastructure is discussed herein. The emphasis, however, is on highlighting the QoS evaluation and capacity optimization capabilities of the system. The system adaptively builds a traffic model that takes into consideration the impact of user mobility. Using this model, the call level QoS parameters such as call blocking probability and call dropping probability are predicted and, thereafter, an effective optimization of capacity allocations to competing services, or user classes, is conducted.