WWD reports that management meetings are currently taking place between Dior officials and Marc Jacobs' representatives, but no decision has been reached.
The move would leave the role of creative director at Louis Vuitton open, which could "potentially be filled by Phoebe Philo of Celine" according to WWD.
"This is about the safest move LVMH can do," fashion journalist Dana Thomas reportedly told The Associated Press. "Everyone loves Marc. He's boundlessly creative. He knows how to assemble and managed an excellent team. And he is resolutely modern."
Thomas added that the possible move was "unsurprising" given Jacob's solid reputation at LVMH.
"Having worked with Marc for so long (at Vuitton,) LVMH knows what they are getting at Dior. No surprises, no drama," explained Thomas.
In related news, additional information surrounding Galliano's breakdown has come to light, with the Telegraph UK reporting that Galliano said the shock of losing his close friend Steven Robinson to a cocaine overdose had "increased his reliance on alcohol and anti-depressants — which in turn allegedly caused his anti-social behaviour."What are your thoughts? Should Marc Jacobs take over at Dior? Is Galliano's downfall understandable?