The Magpies have been targeting Brentford forward Yoane Wissa, seeing him as a direct replacement for Callum Wilson rather than an alternative to Alexander Isak.
Recent reports suggest Brentford have slapped a hefty 60-million-pound price tag on Wissa, a figure that Newcastle's ownership is unwilling to meet.
Sources indicate that 40 million, likely including add-ons, represents the club's absolute upper limit for the 28-year-old, who is entering the final year of his contract.
Despite the standoff, Wissa is understood to be eager to join Newcastle and has voiced frustration at Brentford's handling of previous promises regarding a move.
Brentford, meanwhile, appear prepared for the potential departure of their forward, having already signed Dango Ouattara from Bournemouth as cover for Bryan Mbeumo.
However, they are unlikely to let Wissa leave until another signing is secured, leaving Newcastle in a delicate position as the window ticks down.
The situation underscores the challenge Newcastle face in strengthening their attacking options. With time running short, the club must decide whether to push for a deal within their budget or explore alternative targets.