Tiote was reportedly offered to the Gunners for a fee believed to be around the £12 million mark, but Arsene Wenger's side decided that it was a deal not worth pursuing.
Arsenal have been long-term admirers of Tiote, but they clearly feel that a move, at this present moment in time, is not of interest to them.
The Ivorian international is said to be keen on moving away from St. James' Park, but any switch is now likely to occur in the summer.
What's the impact for Arsenal?
It could mean that one of the obvious deficiencies in Arsenal's squad remains unresolved beyond the January transfer window.
The club have needed a defensive midfielder for some time and that is the exact reason that Tiote has been lined up as a potential target.
The Newcastle man is combative and powerful, meaning he would be a decent fit at the Emirates - even if his technical ability may be a concern.
The decision not to sign him does suggest that Arsenal have other targets, which they feel are more of a priority.
The Magpies insist in the Shields Gazette that Sissoko won't be going anywhere, but the Gunners' alleged rejection of Tiote could suggest they are lining up a late bid.