Arsenal have joined Barcelona in the race for Manchester United starlet Ravel Morrison.
Newcastle had a £1 million offer rejected last week and will now face competition from Gunners boss Arsene Wenger.
Morrison is reportedly keen to talk to Arsenal, according to the Sunday Mirror, having been unable to force his way into the United side, despite their injury woes.
The 18-year-old midfielder, who has made two Carling Cup appearances for Sir Alex Ferguson's side this season, is expected to leave Old Trafford after contract talks broke down.
Morrison’s failure to agree a new deal with Manchester United has put top European clubs including Spanish giants Barcelona on alert.
According to the Daily Star, Barcelona coach Pep Guardiola has been keeping a tab on Morrison’s situation to remain abreast of the latest developments and be ready to make a bid.
Morrison is considered to be one of the most talented players to have emerged from the United’s rank since Paul Scholes and Ryan Giggs. However, his attitude has been a concern for the United boss.
He had criticised Ferguson on twitter for leaving him on the bench during a reserve game saying “couldn’t wait until the end of the season".
In spite of this, Ferguson has been adamant at not leaving Morrison but according to reports the Scot is losing his patience.
Newcastle’s bid for the midfielder was met with rejection at United and the tabloid reports that the Magpies are expected to make an improved bid.
Morrison made his first-team debut in 2010 against Wolves in the League Cup and helped the Old Trafford club lift the FA Youth Cup last season.
But Sir Alex Ferguson claimed on Friday that the youngster has priced himself out of a new deal.
"His agent has been working hard to get him another club," Ferguson said. "We've offered him terms which he has refused, so that is where it is.
"We've rejected an offer from Newcastle and it is now down to how that progresses."
PSG are also monitoring the situation.