2009 mobile phone growth estimates reduced

The downturn in the global economy will affect upcoming mobile phone sales, according to market analysts. While the market will continue to grow, the growth numbers will not come anywhere close to what we have seen in the recent past.

UBS expects that 2009 global handset growth will drop to 3 percent from their eariler estimate of 6 percent due to economic concerns in Europe and North America. JPMorgan also cut their 2009 growth expectations from 8.1 to 6.1 percent, again citing Europe as a weak spot. Average selling prices are also likely to fall as consumers opt for cheaper models.

Nokia has already warned that the slowdown would affect it and analysts expect that many other manufacturers will report similar news in the upcoming months.

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