Android Advanced: USB OTG on the Nexus 4

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Owners of previous Nexus devices have enjoyed the ability to directly connect to USB flash drives and other peripherals using USB OTG (On The Go). The online help manual for the Nexus 4 originally said it would also have this feature, until Google removed it, instead suggesting the use of Bluetooth accessories. Many speculated about why this happened, and wondered if this was a hardware limitation or simply something missing from the software.