The Portuguese midfielder, who faced a challenging debut season in Bavaria, addressed the rumors head-on, emphasizing his desire to fight for his place at the Allianz Arena.
Reports earlier this summer, notably from German outlet Bild, suggested Arsenal were in hot pursuit of the 30-year-old, with "serious negotiations" taking place before Bayern's 2025 Club World Cup campaign began. The talks reportedly involved concrete figures, as Bayern were open to selling players to finance new signings.
Palhinha, who joined Bayern from Fulham for 47.4 million pounds in 2024, was seen as a prime candidate due to his limited game time, starting just six Bundesliga matches last season amid fierce competition in Vincent Kompany's midfield.
Despite the interest, Palhinha made it clear he's focused on his future with Bayern. "I have a contract for three more years, so I'll report for duty on July 29, when we start this pre-season," he said in an interview with Sport TV.
"As I've said several times, it's been a recurring question, but I'm at a great club." Acknowledging his injury-plagued first year, he added, "It hasn't been an easy year, but as soon as the season starts, I'm very motivated to prove my worth at a huge club."
Arsenal, who have already bolstered their midfield with Brentford's Christian Norgaard and Real Sociedad's Martin Zubimendi, appear to have moved on from Palhinha.
Recent reports indicate the Gunners are now prioritizing attacking reinforcements, with Valencia's Cristhian Mosquera and Sporting's Viktor Gyokeres close to joining, while a move for Crystal Palace's Eberechi Eze remains in discussion.
Elsewhere, posts on X confirm Bayern's openness to offers for Palhinha, with Inter Milan and Manchester United also linked, though no formal bids have surfaced.
Bayern's valuation of 25-30 million euros reflects their willingness to negotiate, but Palhinha's remarks suggest he's determined to stay and make his mark. "I need to talk to the coach and sporting director about whether I'll get my chance here," he said last month to Sky Germany, hinting at ongoing discussions with Kompany about his role.
For now, Palhinha's focus is clear: he's ready to battle for a spot in Bayern's star-studded lineup, leaving Arsenal to pursue other targets as the transfer window heats up.