Yeah I've had 4.4.2 on both.
they did give me 3 options, none of which are really any better than what ive gone through.
1. Send back the refurb and my OG N5 for a full refund.
2. Send back the Refurb and rinse and repeat.
3. Keep the refurb and return my OG N5.
Sigh... why they cant just send me a new N5 if they're willing to refund me my money is beyond me. I still say this customer service is horrid.
I agree it seems a little odd, but it could be any number of reasons why they won't send a new N5 - perhaps they are low on or out of stock of your particular memory/color configuration. Also, it's not unlikely that the unit that manages warranty service/replacement operates with a completely different facility and inventory than the 'new sales' unit. That said, you could always just take option 1 and then order a replacement (or find another device to tide you through another 4-6 weeks or so if you wanted to put that towards a N6, presuming it releases).
In my experience with their service group (of which there's been a couple of causes for contact in my collective ownership of both N7 models, the N4, and N5), I have yet to wait a full 60 seconds before speaking with a live rep, and have yet to deal with one that was dismissive. I'm inclined to suggest that a company that is proactively offering to fully refund your purchase of a device whose relative market value has diminished substantially and has been used for nearly a year isn't really providing 'horrid' customer service.
They may not be offering you exactly what you prefer, but they're giving you very reasonable options - most companies would only offer another refurbished replacement, made you pay for shipping at least one way, at least one time in the process, and would be much more difficult to reach.
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On topic of the replacement I received, I've fully switched everything over and realized just how bad my GPS signal acquisition had been on my original device (even when it was new, when I felt it worked better than my old N4). The replacement even picks up signal in my house, and only takes a few seconds to lock on!
Interestingly... the Google Search bar says
Say "Ok Google", which text my being-replaced unit lost some months ago (yes they're both on the same version of the OS at this point).