Have a look at this:
Have you installed the latest software updates already?
When you make pictures with the default camera, the images are stored locally, on your device (in /storage/sdcard0/DCIM/Camera). If you don't like the Google app you can install a third party gallery to see them.
Some people also use a third party app for making pictures and are more satisfied with the results than with making pictures with the default camera app.
Also note that some software updates improved the image quality.