Sources from upstream component makers confided to DigiTimes that Google and Asustek are expected to reveal a $199 7" Nexus tablet at Google I/O, a developer event taking place from June 27-29 at the Moscone Center in San Francisco. Manufactured by Quanta Computer, the tablet is anticipated to hit the retail channel in July and projected to hit shipments of at least three million units in the second half of the year.

With Google expected to unveil the details of the devices at Google I/O, Asustek Chairman Jonney Shih will also attend the conference to jointly announce the tablet PC with Google.

Due to its low price, the 7-inch Nexus tablet PC only supports a Wi-Fi connection and does not feature a back-side webcam, but will equip with a front-side webcam for video conference.

The device will also be preloaded with Google's Chrome browser, with compatibility issues having been resolved to allow smoother operation for some software applications.