Of this amount, US$630 million will go into a settlement fund for consumers, with the balance to be used by the states. A judge still has to sign off on the deal.
The company has not admitted any wrongdoing as part of the settlement.
The case was filed in October 2020 and accused Google of placing unnecessary restrictions on distributing Android apps and increasing fees for in-app transactions.
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"The settlement with the attorneys general makes clear that OEMs can continue to provide users with options out of the box to use Play or another app store," he wrote.
White said another concession was the streamlining of sideloading apps. "...as part of our settlement we will be further simplifying the sideloading process and updating the language that informs users about these potential risks of downloading apps directly from the Web for the first time," he explained.
Google will also allow more freedom for consumers to set up alternative billing options, instead of tying them down to using its Play Store.
User choice in billing will be expanded to allow more communication on pricing. " As part of user choice billing, which we’re expanding with today’s settlement announcement, developers are also able to show different pricing options within the app when a user makes a digital purchase," White wrote.
This is the second anti-trust action against Google that has been resolved in recent weeks. Earlier this month, Fortnite creator Epic Games won a case against Google, with a unanimous verdict over the search giant which it had claimed had app store policies that violated anti-trust laws both at the US federal level and in California state.