You guys up for another rumor? According to a source that spoke with Android and Me, the Google Nexus tablet is a “done deal” and won’t be what we were hoping for. When we first heard the possibility of ASUS manufacturing the Nexus tablet, we immediately assumed the $249 quad-core ASUS MeMo 370T would be the device. This won’t be the case according to the source, who says the MeMo 370T was scrapped after Google contracted ASUS for the Nexus tablet.

Apparently Google wants to produce a cheaper tablet (I guess $249 for a quad-core 7″ tablet isn’t cheap enough) by dropping the quad-core Tegra 3 in favor of something less expensive. Google is looking to market the Nexus tablet at a price of between $149-$199 in order to undercut the Amazon Kindle’s appeal. It’s possible the new Google Play marketing scheme will “play” an integral part in this low-cost Nexus tablet. It’s possible Google will go the route of Amazon by focusing on revenue via content as opposed to hardware.

Should this rumor be true, I’d have to say I’m a bit disappointed. I was really looking forward to the quad-core MeMo 370T and would have been more than happy to pay the extra $50 for the beefier specs. Of course this is all simply rumor based off an anonymous source so who knows. We’ll wait until we get more official news before getting too upset or excited. For now, take it for what it is — rumor.

• SourceAndroid and Me