Some folks are referring to the new devices as the Nexus 7 2, which is very awkward. If Google goes this route, we hope they stick to a Nexus 7 II naming convention.
Either way, considering the Nexus 7 was announced at -- and released to last year's Google I/O attendees -- a Nexus 7 II being released at Google I/O 2013 would not be out of the question.
The report came via DigiTimes, which has a mixed history of rumor results. DigiTimes sources its info from manufacturer supply chains. This report seems pretty solid, due to the above info.
Google will again use Asus, which was behind its Nexus 7, for the second-generation model. According to sources, Google expects the combined shipments of the first- and second-generation Nexus 7s to reach 10 million units in 2013. While hardly iPad-ish numbers -- Apple recently announced combined iPad 2, iPad 4, and iPad mini shipments of 22.9 million for calendar year Q4 2012 (fiscal year Q1 2013).
To date, total Google Nexus 7 shipments will pass six million units by the end of this January, with the $249 32GB wi-fi only model the best-selling model, the sources added.
In addition, the sources said, the Nexus 7 II will be priced the same -- between $199 and $249 -- but several specification changes will be made. The display will be full HD, and it will also have a narrower display bezel.
It's unclear if the device will have a rear-facing camera, something the original Nexus 7 lacked, but it will carry the latest version of Jelly Bean (Android 4.2.x), the report said, specifically adding that it will be an "upgraded Jelly Bean-based Android operating system to enhance integration between the software and the hardware," implying it could be a higher version of 4.2.
Google I/O is scheduled to run May 15-17, but ticket sales have not opened yet.