Tottenham Hotspur appear ready to cut their losses on Ross Barkley and move on to an alternative.
Diop is a central midfielder and is available at a fraction of the price of Everton's Ross Barkley.
Spurs have been linked to Barkley all summer, with The Times reporting head coach Mauricio Pochettino sees him as a long term replacement in midfield for Moussa Dembele.
Everton have been demanding as much as £50 million for the midfielder.
After uncharacteristically blowing £30 million on Moussa Sissoko last summer, spend thrift Spurs chairman Daniel Levy has backed off.
Now Tottenham appear prepared to essentially stick two fingers up at Everton's demands and move on for Diop, paying a fraction of the price in the process.
Diop, 20, is a Spain youth international who still has it all to prove, but he is less of a gamble at that price than Barkley, who would still struggle to get into Tottenham's best XI.
Tottenham moving on for Diop would place Barkley in a difficult position, and leave him scrambling late in the window to find a move elsewhere.