Corriere della Sera says he is prepared to let Mauro Icardi leave provided Morata comes in.
That would see the former Chelsea manager reunited with Morata, who is currently out on loan at Atletico from the Premier League club.
Icardi, meanwhile, has reportedly turned down a new contract at Inter. His current deal expires in 2021 and the relationship between former captain and club has soured in recent months.
A mooted swap involving Icardi and Morata would rely on the blessing of Chelsea, with Morata contracted to the Stamford Bridge club until June 2020.