We have recently seen a weakening in market conditions to levels below our earlier estimates. We believe that this slowdown is a result of a general market deterioration – driven by economic uncertainty, the ongoing technology transition and less aggressive marketing by the operators, said Jorma Ollila, chairman and CEO.
The company still believes however that its mobile phone business will continue to grow significantly faster than the market during 2001, and that its network business will achieve an annual growth rate at least on par with overall market growth.
Nokia also predicted growth of below 10%, compared to initial estimates of 20%.
Nokia’s US-listed shares fell from an opening price of $28.71 to $25. The news also caught Swedish rival Ericsson fell to $5.09 from $5.50.
