According to Android Headlines, Google has decided to discontinue the development of Pixel Tablet 3. Furthermore, Android Authority clarified that it is specifically the second-generation Pixel tablet project that has been canceled. This suggests that the Pixel tablet released last year may remain Google's sole product in this category, marking the company's second exit from the tablet market in over five years. If this information is accurate, it indicates that the Pixel tablet's sales performance was disappointing, leading Google to determine that continuing investment in the next-generation device is not cost-effective.

Recent rumors suggested that new features and keyboard accessories were planned for the Pixel tablet. However, these initiatives might be shelved due to the project's cancellation. Google may be redirecting its focus on large-screen devices to the Nest division, concentrating on the development of products like Nest Hub and Hub Max instead of traditional tablets.

From the beginning, Google's performance in the tablet market has been underwhelming. Although they achieved some success with the Nexus 7, they failed to maintain competitiveness in subsequent markets. Additionally, the Android operating system significantly lags behind iPadOS in optimizing third-party applications for tablets, which is a key factor limiting the growth of Google's tablet offerings.

Previously, in 2019, Google announced it was shutting down its tablet business due to the Pixel Slate receiving a multitude of negative reviews. At that time, two other tablets in development were also canceled. However, by 2022, Google changed its stance, declaring that its Pixel hardware team was working on a new tablet. This product was eventually launched at a price of $499, accompanied by a magnetic speaker dock. Subsequently, Google offered the tablet for individual sale at a reduced price of $399.