"I suspect it would have been cheaper to settle"
The licence Sun wanted to offer was worthless for Android, far from saving Google time and money it would have crippled Android - they'd have ended up rewriting most of it in some other language and just bolting a worthless Java module in.
...but let's pretend they could have got a licence worth having. Given the amount Google offered Sun for the licence they wanted that's probably more than they spent on this case. In BS&Fs previous copyright crusade (SCO vs IMB,HP,Linux) they successfully ran up huge discovery costs for IBM, that didn't happen this time. A combination of there being less to discover in a younger product/company and not having an idiot judge prepared to impose ridiculous burdens on the defendant. And perhaps having learned from BS&Fs previous outrageous abuse of process ;)