Real Madrid have cooled their interest in Neymar due to various factors including the implications that a move for the Brazilian would have on their goal to one day land his Paris Saint-Germain team-mate Kylian Mbappe.
Sources close to events at the Santiago Bernabeu suggest that the Brazil international is now not a top target for the Blancos despite there having been initial enthusiasm to rival Barcelona for a deal.
Madrid had been keen to explore the possibility of signing Neymar after it appeared he wanted out of PSG, but they are instead focusing their attention on other targets, such as Manchester United midfielder Paul Pogba.
Zinedine Zidane's side have already spent big during the current transfer window bringing in the likes of Eden Hazard, Luka Jovic and Ferland Mendy.
Neymar has long been linked with a move to the Bernabeu and he certainly slips into the 'Galactico' talent category, with Madrid president Florentino Perez a big fan of the player.
Indeed, there was talk of the South American moving to Real prior to his switch to Barcelona back in 2013 and Madrid also missed out when he made the switch to PSG.
The Madrid board are, however, no longer in universal agreement that Neymar is the right fit for the club.
Several factors are being taken into consideration by the Blancos as they move away from their interest in Neymar, with the significant finances that would be needed in both transfer fee and wages one concern.
There are also doubts when it comes to recent events on and off the pitch, with the forward's performances across two seasons at PSG, which have included enforced spells on the sidelines through injury, having not convinced despite 51 goals in 58 appearances.
Real are also aware that bringing in Neymar at this stage may prevent them from returning to the French capital to buy another of PSG's star front men.
Mbappe is a long-standing target and the World Cup-winning striker is considered to be a more suitable option at just 20 years of age, with Madrid likely to push hard to sign him in the future.
With all of that taken into account, Real have decided not to go all-in for the Brazilian superstar at this stage and, although they will continue to monitor developments, it does leave the door open for Barca to push ahead with a potential deal.
Madrid's Clasico rivals are interested in re-signing Neymar, but are adamant that he needs to fulfil certain criteria first, including admitting his acceptance that he made a mistake leaving in the first place, taking a salary cut and ending various legal disputes with the Catalans.
Indeed, Blaugrana vice-president Jordi Cardoner claimed on Thursday that the player does want to return to Camp Nou, although stressed that no formal transfer discussions have yet taken place.