Arsène Wenger has said he is "frustrated" by Theo Walcott's refusal to sign a new contract with Arsenal.
Walcott, 23, is out of contract at the end of the season and is able to negotiate a free transfer with other clubs in the January window.
Arsenal could alternatively sell the England international in the new year if there is no breakthrough in negotiations and Wenger sounded pessimistic when asked whether any progress had been made.
"I have no news. I am frustrated. The player knows what I want and he has to make up his mind," the Frenchman admitted on Friday.
Walcott joined Arsenal in January 2006 but did not make his debut until August that year, with his first Gunners goal coming in the 2007 League Cup final against Chelsea.
Despite being touted as one of English football's most exciting prospects he has endured an underwhelming seven years in the Premier League and with the national side. Walcott is still not regarded as a first-teamer at Arsenal and was left out of England's 2010 World Cup squad.
The Gunners were forced to sell both Samir Nasri and Robin van Persie to Manchester City and Manchester United in the last 18 months as both players entered the final year of their deals, otherwise they would have risked not earning a fee for either player.
Wenger also appeared irked by speculation regarding Bacary Sagna's future at the club. The France right-back revealed his dismay in September at Arsenal's transfer policy when he stated he "expected" Van Persie's departure but was surprised Alexandre Song left for Barcelona as well.
Sagna suffered two broken legs last season
"When you see your two best players from last season leave, you ask yourself questions," the 29-year-old told L'Équipe. Sagna's contract expires at the end of the 2013-14 campaign.
"I don't understand the speculation. He has a year and a half left," Wenger responded. "Talks have been very positive."