Google Play Judge Faults $700 Million Deal as ‘Bag of Not Great’

A federal judge appeared skeptical of Alphabet Inc.’s $700 million proposed settlement with states and consumers to resolve claims that the Google Play app store abuses its market power.

At a hearing Monday, US District Judge James Donato said the accord seems to give short-shrift to consumers both in the overall compensation it provides and the broad release it gives the company from future lawsuits.

“Right now I’m not saying it’s a bag of nothing, but it’s a bag of not great,” Donato said.

The deal was first disclosed in December and would resolve antitrust complaints brought by state ...