The reason for all this is, of course, anything but a mystery: a new, 32GB Google Nexus 7 model is expected to land soon. Moreover, it will be priced at $250, or exactly as much as the 16GB variant retailed for until recently. Once the device is back on the Play store, the 16GB model will occupy the 8-gigger's $200 price spot. But what will happen to the 8GB Google Nexus 7 tablet then? Well, we aren't sure, to be honest. Some say it will be discontinued, but on the other hand, it might also be treated to a price reduction.
The 32GB Google Nexus 7 tablet was expected to be announced publicly tonight, along with a 10-inch model made by Samsung, but the event has been cancelled due to the severe weather conditions across the U.S. East coast. In case if a 16-gigger will satisfy your needs, you might be able to find one at a retailer's outlet for $200.
source: Google Play via CNET
The 8GB and 16GB Google Nexus 7 tablet models are out of stock at the Google Play store