The new Nexus 7 takes Google's original 7 inch tablet and builds upon its strengths. The screen resolution is better, the battery lasts longer, and the bezel is slimmed down. This year's Nexus 7 is a definite improvement, but sales of the tablet may be slower than initially expected.
According to an article on DigiTimes, global shipments of the new Nexus 7 are only estimated to hit 3.5 million units, in large part because the device will not be launching in the massive Chinese market. There is also competition from a slew of other 7-inch tablets. This information is coming from a source within the Taiwanese supply chain.
The sources pointed out that the new Nexus 7 is unable to enter the China market due to Google's decision to quit the China market in 2010 after the US company refused to comply with some of China government's Internet policies.
Because Google has refused to comply with the Chinese government's Internet laws and restrictions, China will not let Google release new devices to its consumers. Even though the second-generation Nexus 7 is co-branded with Asustek Computer, the Chinese government is unlikely to change its mind and let the tablet through its borders.
The new Nexus 7 should be available in Taiwan by September, however. Even so, Asustek China has stated that if Chinese consumers want or need service for their tablets after purchase, they will be charged additional service fees. China and Google, as well as Google's manufacturing partners, are not getting along well at all.
Asustek has been promoting its own entry-level tablet, the MeMO Pad HD 7, in place of the Nexus 7. It is currently available for CNY 1,299 for the 16 GB model. That device is currently Asustek's best selling tablet.
Google really have a way to repair the relationship with China. Chinese Internet policy is incredibly restricted, with firewalls in place to block content from people living in China. Last year's Nexus 7 has shipped about six million units since its launch in July of 2012, without having access to the Chinese market. The 2013 Nexus 7 will sell just fine, but Google could do even better if they could work out a deal with China.