The 25-year-old appears to have been deemed surplus to requirements with the Premier League side, who want £11 million for him nonetheless.
Gayle, who started just eight Premier League games last term, still finished the season as Palace's top goalscorer and he may well be a huge asset in the second tier.
But £11 million seems quite high and there is a chance that Newcastle and Fulham will leave the table if Palace aren't flexible as far as negotiating goes.
Newcastle definitely need a prolific goalscorer if they are to escape the Championship at the first time of asking next season.
Of course, Rafael Benitez has the likes of Ayoze Perez and Aleksandar Mitrovic in his ranks, but neither have played in the Championship and neither are guaranteed to want to drop down a division.