A method and system for beamforming in a multiple user multiple input multiple output (MIMO) communication system using a codebook may include a processor in a node B that enables generation of an interference cancellation matrix (WR). The interference cancellation matrix, also referred to as a matched filter, may enable a composite signal (Y) to be represented as a plurality of subsidiary signals (yi), each of which is transmitted by the node B for reception at a corresponding ith UE station. Each of the subsidiary signals yi may be generated based on a corresponding one of a plurality of data stream signals (xi). The processor may enable generation of a precoding matrix (WT) based on the interference cancellation matrix. A transmitter within the node B may enable generation of a plurality of signals based on the precoding matrix. The signals may be transmitted via a wireless communication medium.