Global mobile-phone sales will grow 23 percent this year, 15 percentage points less than in 2000, said Gartner, a U.S. company that analyzes information-technology industries.

Asia will be the fastest-growing region, with shipments of 170 million units and growth of 31 percent. Western Europe, the No. 1 region in 2000, will grow 19 percent with sales of 167 million units. The world market will continue to grow through 2005, Gartner said in a statement.

European mobile-phone makers, such as Siemens and Ericsson, have cut their earnings forecasts for 2001 as demand for phones weakened. Ericsson said March 12 it would post its first quarterly loss in nine years.

"Supply has finally surpassed demand and although sales growth will continue, only those manufacturers with a strongly differentiated offering will continue," Bryan Prohm, an analyst at Gartner Dataquest's worldwide telecommunications group, said in the statement.

Sales in North America will rise 18 percent to 90 million units, while Latin America will grow 17 percent with sales of 42 million. The rest of Europe, the Middle East and Africa will grow 23 percent to 38 million units, Gartner said.