United had offered to pay his release clause and £150,000 a week but Godin is intrinsic to Diego Simeone's plans and settled in Madrid.
Jose Mourinho is hellbent on snapping up a new defender ahead of today's 5 pm transfer deadline.
Sky Sports News report that United are chasing a deal for Atletico leader Godin after failing to reach an agreement for their top targets.
The Uruguayan centre-half would have been able to move for just £17.5 million this summer and it's easy to see why Jose Mourinho viewed him as a short-term solution to the problem in the heart of the Red Devils' back four. And the club are now after Godin.
Godin has spent the majority of his career in Spain, joining Villarreal in 2007 before moving to Atletico Madrid three years later and becoming an integral player, winning six trophies including the La Liga title in 2015 and two Europa Leagues.
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According to reports from Sky Sports, United have made contact with Atletico Madrid for the Uruguayan global.
Let's be honest, a deal for the Uruguayan 32-year-old global is very unlikely at this late stage in the transfer window but anything can happen on deadline day - supposedly.
Godin, the captain of the Uruguay national side, is widely considered to be one of the best defenders in the world, and at 32, has plenty of experience.
Sources close to the negotiations confirmed on Thursday that officials from United contacted Atletico this week to discuss a deal for Godin, who was entering the final year of his contract.