The Nexus 7 is going to turn three months old this week, and while Android fans definitely love the $199 tablet, there is a clear demand for a larger device. According to C|Net, Samsung and Google are working on a 10 inch Nexus. The screen, besides being larger, will also be stupendously sharp at a whopping 2,560 pixels across by 1,600 pixels tall. In other words, it’s going to have a pixel density that’s higher than that of the third generation iPad. More importantly, this device will be “co-branded”. Translation: Google and Samsung will both be marketing this Nexus tablet. We can’t stress enough how important this is. Why do you think the Samsung Galaxy S III is selling so well? It’s because you can’t walk more than a couple hundred meters without seeing a Samsung advertisement. Now we don’t know if Samsung is going to push this “Nexus 10” as hard as they’re pushing the Galaxy S III, but wouldn’t it be nice if that was the plan?

The rumors don’t stop there. C|Net is also saying that Google will begin producing a $99 Nexus tablet in December. That’s a curious rumor for multiple reasons. First, since when does Google produce anything? Usually they get other companies to make devices for them. Second, that price tag just seems unrealistic. How much would Google have to sacrifice in terms of components to make a tablet that cheap? The screen would probably be a 7 inch 800 x 480 panel, the processor would be a year old Qualcomm Snapdragon, and the plastic … we don’t even want to imagine what sort of cheap plastic will be used.

Looking at the bigger picture, can Google make Android tablets popular? Developers don’t seem to care about making their apps work beautifully on devices like the Nexus 7. That and there are rumors circulating around the internets about a smaller iPad.

We’ll just have to wait and see how the market evolves.