Arsenal are focusing on a deal for Borussia Dortmund defender Sokratis Papastathopoulos.
The Daily Mail says they have concerns over their pursuit of Freiburg's Caglar Soyuncu.
Mikel Arteta is likely to have a limited budget to work with if, as expected, he is appointed manager following Arsenal's expenditure in January and Freiburg's £35million asking price for Soyuncu is a concern.
Sokratis is well known to Sven Mislintat, Arsenal's head of recruitment, from their days together at Dortmund and would cost considerably less at around £17.5m.
Arsenal need a centre back with Laurent Koscielny out for six months and Per Mertesacker taking up a coaching role.