if you read the whole article it states Arsenal haven't approached Palace, hence we have nothing to reduce as there has been no bid.Not so ridiculous whilst ever there's a release clause. After all as other posters have said a release clause makes it clear to everyone what needs to be done to get a player - namely trigger the release clause by bidding the full amount. The article seems to be suggesting that Arsenal won't trigger the current release clause. There's no point them bidding lower whilst the current figure is there.
The Athletic don't tend to run click bait stories without some serious checking with people close to the club(s) or player/agent.
You can bid lower than the release clause at any time - clearly the selling club can refuse it. Solanke was sold last season at less than his release clause. This only happened as the 2 clubs were in dialogue.
If Arsenal want to submit a bid they can do so at any time.
It would appear discussions to date have only taken place with his agent.