One day after predicting a second-quarter shortfall in cell-phone revenue growth, Nokia ( NOK) said Wednesday it still expects the worldwide handset market to continue to grow this year.

But the Finnish technology giant was less sanguine on markets for cell-phone infrastructure makers, saying they could contract by as much as 15% in 2003. That forecast contrasts with a prediction by Nokia on Tuesday that its own network-equipment division will break even before a charge on a 5% revenue decline in the second quarter. Tuesday's forecast put a charge in Ericsson ( ERICY) and that company's shares shrugged off Nokia's industry outlook Wednesday, rising 3 cents to $11.38 in the Instinet premarket.

Nokia shares were down a penny to $17.70.

Company executives said they expect global handset sales to rise 10% in 2003 to around 450 million units, saying a slight second-quarter shortfall disclosed Tuesday would be offset later in the year. It expects the number of mobile phone users to rise to 1.6 billion by the end of 2003, about 100 million more than it previously forecast.

The comments follow some depressing news from Motorola ( MOT) and Texas Instruments ( TXN), both of which said their cell-phone operations were being hurt by weakness in Asia.