Google has reached a settlement agreement to pay $700 million in response to allegations of antitrust practices regarding its Android app store. The deal, which was initially struck in September, was filed in a federal court in San Francisco late on Monday night.

The settlement includes all 50 states and allocates a $630 million payout for U.S. consumers who utilized a payment system within Google's Play Store. State attorneys general accused Google of engaging in anticompetitive conduct that inflated prices for in-app purchases. Google collects 15 to 30 percent of commissions on in-app purchases, which the states argued resulted in higher prices compared to an open market for payment processing.

As part of the settlement, eligible consumers will automatically receive a minimum payment of $2, with additional payments based on their spending on Google Play from August 16, 2016, through September 30, 2023. Google will also be required to pay $70 million in penalties and other costs to the states, pending approval by a judge.

Wilson White, Google's vice president of government affairs and public policy, addressed the settlement in a blog post and emphasized that it strengthens Android's choice and flexibility, while maintaining security protections and preserving Google's ability to compete with other operating system makers. He also mentioned that Google will allow app and game developers to implement an alternative billing system alongside Google Play's existing one.

White stated, "Android and Google Play provide choices and opportunities for innovation that other platforms we compete against simply don't... We're pleased to reach an agreement that builds on that foundation and we look forward to making these improvements that will help evolve Android and Google Play for the benefit of millions of developers and billions of people around the world."

Notably, this settlement comes just one week after a federal jury in California ruled in favor of Fortnite maker Epic Games in its antitrust lawsuit against Google's app store. In response to the recent settlement to the states, Epic Games expressed that it does not address the core issues of Google's "unlawful and anticompetitive behavior," as determined by the jury in their case.

Overall, this settlement represents a significant resolution to the antitrust complaint against Google, as the tech giant agrees to pay a substantial amount in payouts to consumers and penalties to the states, while also implementing changes to its payment system within the Google Play Store.