I see a massive difference between the two devices. Other than the obvious general size of the device, width in portrait and thickness of the 2nd gen Nexus 7. The screen is a huge improvement, images and video are much better, there's less grading of colours especially blacks on videos whether on You Tube or my own MP4 videos. Photos look fantastic, they're sharper, clearer and colours are much brighter.
The 1080p screen is obviously an upgrade to my Nexus 4's 720p ISP display, I didn't expect to see such an improvement but there is and that surprised me.
The device is much snappier, in fact at this time it's liquid smooth.
When I got my original Nexus 7, I had an S2 and I preferred to use the N7. Then I got my Nexus 4 and the screen and colour was much nicer so therefore I started to prefer that but now I pick this Nexus up over all others.
A nice improvement, I'm looking forward to the new Nexus phone...
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