Nokia sees 2010 cellphone market up 10 pct y/y

The world's largest cellphone maker Nokia said on Wednesday it expects handset market volumes to grow around 10 percent next year, more than analysts expect.

Nokia forecast its handset unit operating profit margin to be 12-14 percent next year, in line with levels reached earlier this year.

Nokia's closest rival Samsung Electronics gave an upbeat forecast for 2009 mobile phone sales earlier this week due to sharp growth in touchscreen models. Nokia's shares fell 1.7 percent to 8.76 euros on the news, compared with a 0.7 percent weaker Dow Jones Stoxx European Technology Index

Nokia and the rest of the cellphone industry have suffered in 2009 as consumers cut spending on new gadgets, with the more expensive end of the market seeing increasingly stiff competition.