Rocky Start for Nokia Siemens

It trims guidance, citing a spending slowdown.
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Nokia (NOK) - Get Report said its Nokia Siemens telecom infrastructure business started operating, but the networking venture reduced its growth targets, citing a spending slowdown.

The Helsinki-based company said that "over the last couple of months, there has been a narrowing of visibility and indications of a slowdown in spending in some regions. As a result, Nokia and Nokia Siemens Networks today are updating the outlook for the mobile and fixed services infrastructure market for 2007. The companies now expect very slight market growth for the mobile and fixed infrastructure and related services market in euro terms in 2007. Previously, Nokia expected slight growth in the mobile and fixed infrastructure and related services market in euro terms in 2007."

Nokia Siemens also reiterated its plans to cut costs by 1.5 billion euros annually and to "be known for operating with the highest standards of ethics and integrity." Venture partner

Siemens

(SI) - Get Report

has been rocked by a corruption scandal.