The north Londoners are keen to bolster their midfield after Aaron Ramsey was ruled out for another six weeks and Mathieu Flamini picked up a four-match ban thanks to his red card in midweek.
Källström started his career at Swedish club BK Hacken but was soon spotted and signed by Djurgardens. Whilst there he scored an impressive 26 goals in 48 matches and was quickly signed by French club Rennes.
Källström enjoyed a brilliant spell in Rennes and was soon catching the eye of Europe’s top clubs (as well as the makers of Championship manager).
He moved to Lyon in 2006 and won two Ligue 1 league titles, two Coupe de Frances and enjoyed Champions League game-time.
At one point Chelsea and Internazionale were thought to be interested in securing his services, but in 2012 he signed for Russian club Spartak Moscow. He has also won 108 caps for Sweden.
Last October Källström made headlines across the world when a picture of him, comforting an eight year-old mascot before Sweden and Germany's World Cup qualifier, went viral.
The young boy, who suffers from Williams syndrome – a genetic disorder that makes sufferers particularly anxious and sensitive to noise – became distressed after going onto the pitch, so Källström crouched and comforted him. The boy's father was so appreciative he wrote to Källström saying, “"Because of your actions my son was able to experience exactly the same feelings as everyone else: pride, a sense of being special."
Arsenal appear to be signing a good footballer and a good man.