The Senegal international is widely expected to leave the Hammers during the January transfer window and the Eagles would appear to be leading the race for his signature with Swansea having previously been in the mix.
Palace were thought to be chasing the 28-year-old in the summer, only for a deal to fail to materialise, but look likely to get their man this time around after a fee of between £10m and £12m was agreed between the two London outfits.
The Eagles are desperate to improve their attacking options with Christian Benteke their only fit out-and-out striker and will hope to finalise the transfer of Sakho quickly in order to move on to other January targets.
Wigan boss Paul Cook thinks the Latics are being shown too much respect ahead of their FA Cup quarter-final against Southampton on Sunday.
The prospect of a first trip to Hampden proves it was a good decision to move to Scotland, says goalkeeper Jon McLaughlin.