Qualcomm’s Q2 2013 fiscal financial results are out. Revenues are up 24% year over year, net income is up 17% year over year, and MSM shipments are up 14% year over year. Everything sounds amazing, right?

There’s an old saying that says you need to spend money to make money. Qualcomm’s R&D expenses shot up 21% year over year, and they’re only going to increase in Q3. That, combined with the fact that people are buying cheaper phones, has resulted in Qualcomm lowering their estimate for Q3 2013 earnings per share.

How did the market react? Qualcomm’s stock dropped almost 7% in after hours trading.

Now whatever happens to company’s stock price has little to no impact on regular consumers, but you can expect the media to make a big deal out of it. What you need to know is that the Qualcomm Snapdragon 600 is currently the best smartphone chip on the market. And Qualcomm’s expertise in wireless technology are why Apple put their radios inside the iPhone.

Later this year we’ll see the even faster Snapdragon 800, plus some LTE-Advanced equipment that will increase throughput speeds even further. Stock price be damned.