DAZN is reportedly nearing a deal that could see it purchase BT Sport outright in the coming weeks.
Last year BT confirmed that it was exploring options for BT Sport, including a full sale or reworking the operation as a joint venture, in order to focus its funding on launching high-speed broadband services instead.
DAZN - a fast-growing player in the worldwide sports rights market - has made no secret of its desire to get hold of Premier League rights in the UK, an ambition that would be realised if it buys up BT Sport.
According to Reuters, the broadcaster is now the clear frontrunner in talks with BT and could complete the acquisition - said to be worth around $800m (£582m) - before the month is out.
Discovery, which operates the Eurosport channels, is still said to be in rival negotiations about an arrangement that would see it come on board as a partner with BT in the venture.
Around 5 million households in the UK are estimated to have a subscription to BT Sport.