Google is gearing up to launch a second-generation Nexus 7 this July, which will cost slightly more than its predecessor at $229, according to supply chain sources in Taiwan. The search giant has supposedly upped its price tag slightly in an effort to avoid competing directly against entry-level Android tablet from other manufacturers.

The current Nexus 7 starts at just $199 and packs 16GB of internal storage, a quad-core NVIDIA Tegra 3 processors, and a 1280×800 display. At that price, the Nexus 7 is pretty much killing entry-level Android tablets that come with lesser specifications and only slightly smaller price tags.

According to DigiTimes, Google hopes to change that by making the second-generation Nexus 7 a little pricier and increasing the gap between entry-level slates and its own. It will still be looking to compete with tablets like the Amazon Kindle Fire HD, and the Apple iPad mini, however.

The sources didn’t say what we can expect from the new Nexus 7, but recent rumors have suggested we’ll see a higher resolution display, a Qualcomm Snapdragon processor, and a new form factor with thinner bezels around the screen. It’s also likely to be one of the first Android devices to run Android 5.0 Key Lime Pie.

Of course, DigiTimes doesn’t have the best track record, so take this rumor with a pinch of salt for now. But given that the original Nexus 7 will be a year old this July, that’s about the right time to expect a successor.

• SourceDigiTimes