The Gunners are keen to strengthen their options before the transfer window slams shut later this month and are keen on Leicester City’s James Maddison.
They have been chasing Italy international Locatelli and working hard to try take the 23-year-old to north London.
However, according to Italian journalist Fabrizio Romano, Arsenal have now completely stopped working on a deal for Locatelli.
The Gunners appear to have given up on the idea of signing Locatelli from Sassuolo this summer and are chasing other options.
Juventus are in pole position to sign Locatelli and it is claimed that when they loan Merih Demiral to Atalanta then they could have extra cash to throw into the deal.
Locatelli made 34 appearances in Serie A for Sassuolo last season and has a further two years left to run on his contract at the club.
He played a key role in helping Italy to win Euro 2020 earlier this summer, shining on the international stage.
