Free agent Jali has been linked with a move to the Big Three. And according to a source, Sundowns have lost ground in their pursuit of the Bafana Bafana midfielder amid competition from Soweto giants Kaizer Chiefs and Orlando Pirates.
Downs may now taker a closer look at 25-year-old Dao, who is currently on the books of Egyptian side Al-Masry.
"Sundowns scouts have been tracking Dao for some time," says the informant.
"There has been some informal talk with regards to Sundowns' interest but nothing concrete.
"The club looks like they have lost the battle to sign Andile Jali to one of the clubs in Soweto.
"The attention will now turn to Dao, who plays both in defence and a defensive role in midfield."