Google's Nexus Q, announced last month at their I/O conference alongside the Nexus 7 tablet and Android 4.1 Jelly Bean, was almost universally panned in reviews for not having enough functionality for the $299 price tag. The device only plays content from YouTube or content that you have purchased from the Play Store, and requires an Android powered device on your home network to do the streaming. Although, it does look nice which is a bonus.
Now it seems Google has realized that the Nexus Q lacks solid functionality and they are postponing the release to "work on making it even better". For those that pre-ordered the device, Google is being very generous as they are shipping out a free Nexus Q as a way of saying thanks for the early interest; of course after having given out free units to Google I/O attendees.
Here is the email that Google sent to pre-order customers:
We have an important update about your Nexus Q pre-order.
When we announced Nexus Q at Google I/O, we gave away devices to attendees for an early preview. The industrial design and hardware were met with great enthusiasm. We also heard initial feedback from users that they want Nexus Q to do even more than it does today. In response, we have decided to postpone the consumer launch of Nexus Q while we work on making it even better.
To thank you for your early interest, we'd like to extend the Nexus Q preview to our pre-order customers and send you a free device. If you had other items in your order, your credit card will be charged for those items only.
Your Nexus Q will be on its way soon and you will receive a notification and tracking number from Google Play when it ships.
The Nexus Q Team
It isn't mentioned what sort of functionality they are trying to add to the device before it actually launches, but hopefully it has to do with playing videos other than those purchased through Google's Play Store. As for now, the device is currently listed as unavailable on the Play Store, so there is no chance to pre-order now to get a free unit.
Source: Android Central