The 23-year-old impressed for his Italian club during the 2020-21 campaign, scoring four times and providing three assists in 34 Serie A appearances.
Gunners are in the market for a midfielder, with Granit Xhaka still in talks with Roma over a move to the Serie A club.
Juventus will undergo a meeting with Sassuolo soon, with Locatelli apparently 'still pushing' to complete the move to Turin.
Arsenal need to turn the page and move on. There are plenty of exciting options across Europe who would love to don the red and white.
Locatelli has spent his entire career in Italy so far, and a move to Juventus makes sense in that respect.
Sassuolo are opening up to the idea of a player being included in the deal for Locatelli and a two-year loan with obligation to buy is Juventus’ preferred method of payment.
When asked about his thoughts on the Old Lady, he claimed: “They’re a great team. The interest is pleasing, I’ve always said that.
Arsenal are interested in signing Locatelli, knowing full well his preferred destination would be Juventus.
Arsenal's stance on the Locatelli transfer. The north Londoners are prepared to pay Sassuolo's asking price of €40million (£34.2m) for the midfielder, but they only want him to sign.