It is unlikely to Google will build factories to make the Glass, either. It might be a Google-branded product (like ChromeBook Pixel), or something they'll license to other manufacturers (like Android), or a hybrid of these (Nexus). Time will tell.
The Nexus branding is much more visible than the Asus one. It's over 2x as large and centered directly in your line of sight as you're holding the tablet. You can't seriously think that people would look at the branding and think that it places more importance on the manufacturer than it does the nexus brand name.
So what Google hardware was he referring to when he said it had been a complete failure? Their in-house servers? I suppose they haven't sold any of them...
