Michael Hausfeld, a lawyer for the players, confirmed the $40 million figure to The New York Times, but said he was not sure how the money would be divided.
"We have to come up with a plan of distribution, and that's what we are working on now," Hausfeld said.
The settlement deal is expected to affect more than 100,000 current and former college players who have appeared in EA-produced basketball and football games.
Representative for Electronic Arts and the Collegiate Licensing Company declined to comment today when approached by The New York Times.
Following the settlement announcement yesterday, EA Sports canceled its 2014 next-generation college football game and said the company is evaluating its options for the future of the brand.