(Vancouver) Telus has revised down its annual forecast for 2023, citing demand pressures as the tech sector seeks to cut costs.

The Vancouver-based telecommunications giant said it revised its guidance following Telus International’s annual outlook update.

As a result, Telus says it is targeting consolidated operating revenue growth of 9.5% to 11.5%, down from its previous forecast of between 11% and 14%.

Telus, which is the majority shareholder of Telus International, said the spin-off company’s lower revenue forecast was due to customers “aggressively” reviewing their cost structures, including reducing the size of their workforces.

Telus International Chairman Darren Entwistle spoke of “severe global pressures…unprecedented,” particularly in the tech vertical.

Entwistle, who is also president and CEO of Telus, said Telus International is focusing on its own cost structure, including reducing its own workforce and deploying automation and artificial intelligence.