Updated from 4:58 p.m. EDT

A research report released Thursday estimates that cell-phone sales will fall 8.3% this year, but phone-makers' stocks turned a deaf ear to the prediction.

Research firm IDC said shipments for the fourth quarter of 2008 fell 11.8% year over year, according to The Associated Press. Overall, 2008 shipments reportedly grew 4.3%. "Worse-than-expected results and a steady flow of negative economic news are indicating that 2009 will be gloomier than predicted," said IDC researcher Ryan Reith, according to the AP. The outfit expects recovery to begin in the first half of 2010.

That report notwithstanding, shares of the major handset makers were up Thursday. Palm ( PALM) shares rose 6.8% to $7.86. Research In Motion ( RIMM) rose 2.8% to $41.46. iPhone maker Apple ( AAPL) rose 4% to $96.35. Nokia ( NOK) rose 8% to $11.04.

Meanwhile, shares of Microsoft ( MSFT) fell 0.6% to $17.01 after an analyst at Morgan Stanley lowered his revenue and earnings forecast for the company, citing a bleaker outlook for PC sales.

Internet company Google ( GOOG) was recently up 1.8% to $323.53 after announcing it was reaching one of its powerful tentacles into the phone space. Yahoo! ( YHOO) shares rose 1.6% to $13.60. eBay ( EBAY) rose, as well, to the befuddlement of TheStreet.com's Michael Goodman.

Among telco services, Comcast ( CMSCA) was up 4.5% to $12.92. AT&T ( T) was up 4.3% to $24.35. Sprint ( S) rose 8.5% to $3.83. Deutsche Telekom ( DT) rose 3.1% to $12.19. And Verizon ( VZ) was up 2.6% to $28.14.

In the semiconductor space, National Semiconductor ( NSM) shares were down after a Standard & Poor's analyst downgraded the firm's corporate credit and senior unsecured ratings to junk status. The stock was recently going for $11.02, reflecting a 3.2% drop. Texas Instruments ( TXN) rose 1.5% to $15.94. SanDisk rose 3.9% to $9.95. Intel ( INTC) rose 4% to $14.52 after an analyst with American Technology Research upgraded the stock to Buy from Neutral. Advanced Micro Devices ( AMD) rose 3.9% to $2.40

Computer maker Dell ( DELL) rose 5.1% to $9.44. Hewlett-Packard ( HPQ) rose 2.6% to $29.34. IBM ( IBM) climbed 2% to $90.40.