The 30-year-old struggled for regular game time last season, and he is not in Southampton boss Ralph Hasenhuttl’s first-team plans after a dressing room rant last week.
Austin, who is on £70k-per-week wages at St Mary’s, is one of the long list of players Steve Bruce is thinking of signing this summer as he is keen to bolster the attacking department.
Newcastle lost Ayoze Perez this summer, but the Magpies swiftly moved to sign Joelinton for a club-record fee of £40 million earlier this week.
The Magpies are keen to add depth in their attacking department and have considered Andy Carroll and Danny Welbeck as potential options. Both the players are available on free.
Earlier this month, Football Insider claimed that Newcastle are planning to submit a bid for the Southampton striker who has a year remaining on his contract. The Saints value him at around £8million.
Now that he has been offered to Newcastle, the door has swung open for the Magpies to get him at a cut-price deal.