The 26-year-old midfielder had been close to a move to the Serie A outfit after slipping down the pecking order at White Hart Lane last season.
Napoli have confirmed their interest in the Honduras international but sporting director Riccardo Bigon claims they are not happy with the amount of money Spurs are demanding.
Stalled: Napoli and Tottenham are struggling to agree a fee for Wilson Palacios
'Wilson interests us a lot,' Bigon told Tutto Napoli. 'But negotiations have stalled for now.
'Tottenham are ready to sell him outright, but they want a lot of money in order to let him go.
'I've spoken with his agent as the player is currently on holiday.
'Everything should become clearer in seven to 10 days' time. Let's wait and see what happens.'
It is believed the Italian side are offering around ?10million, but Spurs paid Wigan ?12million for him in 2009 and they want to recoup that.
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Source: Daily Mail
Source: Daily Mail