Arsenal target Dominik Szoboszlai has decided to join RB Leipzig in the January transfer window, according to Sky Germany.
Red Bull Salzburg midfielder Szoboszlai is close to finalising a move away to the Austrian club's sister side.
Sky Sports News reported on Thursday that Arsenal had been interested in signing the Hungary international in January.
Bayern Munich and Real Madrid had also been interested in the 20-year-old over a potential deal next summer.
Szoboszlai has a release clause of almost £23m in his Salzburg contract.
Salzburg sit second in the Austrian Bundesliga, while the club have dropped into the Europa League after finishing third in their Champions League group behind Bayern Munich and Atletico Madrid.
Szoboszlai has scored 10 goals for club and country this season, including a stoppage-time winner against Iceland in November to qualify for the Euro 2020 finals next summer.
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Who is Dominik Szoboszlai?
Szoboszlai is considered one of Europe's most promising talents, having scored twice in six Champions League games this season, and four in 10 in the Austrian Bundesliga, while setting up a further six.
The youngster has scored 25 goals and produced 33 assists in 80 appearances since breaking through from Salzburg's academy in 2018.
Szoboszlai plays predominantly as a number 10 - the position Mikel Arteta is keen to bring in, having recently relied on a traditional number nine in Alexandre Lacazette to play there, as the Gunners have struggled in the Premier League.