The German’s contract with Bayern Munich expires next summer.
According to reports, Real Madrid want to sign the Austrian on a free transfer as his contract expires next summer.
Alaba’s relationship with the Bavarians has reportedly fallen after he found out their contract offer unsatisfactory. Though the Austrian is willing to continue, the German Champions are thinking otherwise.
Bayern President Herbert Hainertold earlier stated that the talks between the club and Alba over a contract extension broke out after the Austrian deemed it insufficient.
‘We submitted to David and his adviser some time ago what we think was a very good offer.
‘The answer was that the offer was still unsatisfactory and we should think about it again. We then decided to take the offer completely off the table. This means there is no longer an offer.’
It is also understood that Alaba wants to play for the defending La Liga champions while Barcelona have reportedly pulled out of the race due to his wage demands.
The 28-year-old moved to Allianz Arena in 2010 and has since established himself as one of the best left-backs. However, in the last season under Hansi Flick, who drove Bayern to a continental treble, Alaba also excelled as a central defender.
Meanwhile, Real Madrid skipper Sergio Ramos has been heavily linked with a move to PSG as his contract runs out next summer.
It remains to be seen which of the European clubs would end up signing Alaba should he leave Bayern at the end of this season.