The chip maker now expects to book revenue in the range of $3.36 billion to $3.50 billion, with earnings between 51 cents to 55 cents. The company earlier predicted sales between $3.41 billion and $3.69 billion.
Analysts polled by Thomson Reuters are expecting, on average, earnings of 57 cents on revenue of $3.55 billion.
Texas Instruments said the new view is directly related to poor market performance of Nokia, which has been narrowing its own sales forecasts due to lower selling prices and softer demand for its phones.
Nokia, as well as Texas Instruments and many other retailers, has been struggling to rebound from the March 11 tsunami and earthquake in Japan that in many cases destroyed facilities and stifled production. Texas Instruments said some of its auto customers in Japan continue to face supply chain issues.
Outside of Nokia, Texas Instruments said its other products such as communications infrastructure and PCs are trending as expected with the help of rising demand for tablets.