I have done the obvious -- the USB driver was installed from the latest Android SDK, and USB debugging was turned on in the tablet.
When the Nexus 7 is connecte
When the Nexus 7 is plugged in there is a persistent notification that indicates "CONNECT AS / Media Device (MTP)". In this state adb devices
will not show the Nexus, or undoubtedly any other device. Not exactly obvious, but if you select the second option "Camera (PTP)" the device is available for debugging (the lesson is ignore the camera, and focus on the protocol PTP).
This configuration is persistent, and I'm guessing that with a brand new device it will connect as MTP until told otherwise.
Thanks to @Ciaran Gallagher
Settings --> Storage --> Top Left Option (Computer USB Connection) tap--> choose MTP
In my case I had two problems:
My PC got a previous "Samsung Galaxy II" driver and assigned it to my Nexus 7. I needed uninstall it many times. Finally I could bind the correct Nexus 7 driver.
The need to set the PTP option.
PDANet driver was the only solution for me to successfully connect to Google Galaxy Nexus 4.2.1 on Windows 7 x64 which was rejecting/ignoring official USB drivers from the latest 4.2 ADK (revision 7) - http://junefabrics.com/android/index.php
Complete checklist:
I had a similar issue and tried the other suggestions.
Utilizing the PdaNet driver in the download from http://www.junefabrics.com/android/download.php is what finally did the job and allowed me to finally connect via ADB. Prior to installing the driver from here I was unable to recognize my Nexus in order to sideload the new Android 4.2 on my device.
I am running Windows 7 64 bit with my Nexus 7.
Another option is if windows updates are turned totally off on your PC. In this case even if you download the USB driver & try update it manually as described above it will not work. The only way in this case is enabling windows updating drivers automatically. Once you enabled this, remove the non-working driver from device manager & connect you tablet to the PC via USB cable. The drivers will be automatically downloaded & installed by Windows. This way worked on my Windows 7 PC.