According to UPS Employee working at Kentucky Warehouse: Google only ordered 17,000 Nexus 4 from LG
Here you go everyone, straight from the horse's mouth (submitted this tip to The Verge already, hope that they will post this on the front page):
Alright guys, here's the deal. I work at UPS's logistics center here in Louisville, Kentucky. I am one of the few employees on the line of logistics whose job to pack packages according to the packing slip, and then send it off within the conveyor belt in which then places the shipping label and then is stored in the shipping area in which are waiting to be picked up to either be shipped via ground, one day, two day, etc.
I've registered with XDA forums because it is one of the fastest moving threads on the internet regarding the Nexus 4 fiasco and it’s my off day today and I’ve thought I should share some information relating to the release of this phone and how we do operate. Here’s what’s happened and is happening at the moment. November 12th, we received approximately 17,000 Nexus 4 devices from LG Korea/Google. 7,000 of these devices were 8GB devices, and the remaining 10,000 were the 16GB devices. The shipment was wrapped in stretch plastic wrap, stacked on wooden pallets. November 14th, we started then to unpack these pallets and take apart these devices so we can start packing and shipping.
Remember we work in all areas of the warehouse, we do not just ship out for Google, we have thousands of clients whom also use us for their shipping needs and we need to prioritize each client accordingly.
So you’re asking, what’s the delay? Where are these items being shipped out so slow? Because the shipping manifest that was received was incomplete from Google. We had further received additional customer information later on and were able to ship out then. Packaging each package takes only 5 seconds from hand on time to automated machines sticking the shipping labels on them and scanning them. Then they are transported on belts to their respected buckets in which they are picked up and start their journey throughout the UPS network. The remaining phones we’ve had on hand yesterday the 19th of November had dropped from about 890 16GB devices and about 340 8GB devices. We have managed to ship out everything yesterday. Meaning there is no more stock, and replenishing this stock will take time and is estimated as freight shipping dealing with sea (which Google is using) is slow.
So there you guys go.
More here: Link