Is Google News Paying for News?

The WSJ highlights a deal between Google and the AP, but details are sketchy because the companies have signed a nondisclosure agreement, so it remains to be seen how much Google is paying and for what. As such, it's unclear whether this will have any effect on AFP's lawsuit against Google for not paying for its news. Google seems to suggest that they are paying the AP for using content beyond inclusion in Google News, but the lack of any details raise doubts as to how strictly Google is adhering to its "Google News is fair use" position. Can Google still be considered a defender of fair use even if it caves in and begins paying for the content that it originally claimed was free to use?