Arsenal is reportedly interested in signing Real Madrid winger Vinicius Jr. after negotiations over a new contract reached a standstill.
The Athletic reported on August 1, 2026, that talks are scheduled for next week, but no agreement has been reached.
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The 26-year-old Brazilian forward's current deal expires in 2027.
Discussions with Real Madrid have been ongoing for 18 months, but disagreements over financial terms and a requested renewal bonus have prevented a deal.
Arsenal manager Mikel Arteta has identified Vinicius Jr. as a top target to strengthen the attack.
The club's ownership has already approved the expected financial figures for a potential transfer.
Arsenal is willing to adjust its wage structure to accommodate the move and hopes to negotiate a lower fee, as Real Madrid risks losing the player for free next summer.
An anonymous source with knowledge of Arteta's outlook told The Athletic: "Mikel Arteta loves him."
The source added, "If he doesn’t renew, we will be there," indicating the club's active interest.
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Contract Stalemate
The contract discussions hit a roadblock over financial expectations.
Vinicius Jr. currently earns approximately €18 million net per season after bonuses, including those tied to winning FIFA's The Best award in 2024.
Real Madrid proposed a renewed salary of around €20 million net annually, which was rejected by the player's representatives.
The club subsequently turned down a counter-offer.
A major point of friction is a requested sign-on bonus, which Vinicius Jr.'s camp views as necessary to bridge earnings with high-earning teammate Kylian Mbappe.
Real Madrid officials have rejected the bonus request to avoid setting a dangerous precedent for future squad negotiations.
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While Real Madrid considers the potential acquisition of Leipzig's Yan Diomande to cover a possible departure, Vinicius Jr. faces three potential pathways: renewing with Madrid, moving to Arsenal immediately, or departing as a free agent in 2027.