Arsenal have been trying to offload the centre-back for much of the summer, with Unai Emery even declaring publicly that it was time for Mustafi to leave.
Mustafi made a host of costly errors last season and is yet to make a matchday squad for Arsenal this season.
David Luiz has taken Mustafi’s place in the squad and the German has been linked with a switch to Italy.
Roma were reportedly interested before they signed Manchester United’s Chris Smalling, but Juventus emerged as suitors for Mustafi on Sunday night.
The Serie A champions need cover in defence after Giorgio Chiellini suffered an ACL injury.
However, Sky in Germany have now poured cold water on the possible transfer, explaining Juventus are unlikely to sign Mustafi on deadline day due to time constraints.
The Italy and European transfer window closes this evening and Juventus could now pursue other options.
Juventus have enquired about a host of centre-backs, including Liverpool’s Dejan Lovren.
Emery urged Mustafi to find a new club last month, saying: ‘For one circumstance or another, they [Mustafi and Mohamed Elneny] are going to have fewer chances to show their capacity or to be happy with us and the minutes they play.
‘I think it is positive for them to leave and sign for another team where they can be protagonists and be happy and continue their careers.’