Magpies boss Sam Allardyce has been a busy man since taking the reins at St James' Park, and is now reported to have added Smith to his list of new recuits, which includes Mark Viduka and Joey Barton.
The Toon chief has moved for Red Devils hitman Smith after discovering that strikers Michael Owen and Obafemi Martins have get-out clauses written into their contracts.
And 26-year-old Smith, who signed a five-year deal in 2004, is ready to leave Old Trafford after being told he will not be offered a new contract.
The former Leeds forward has many admirers, with Gareth Southgate, Martin O'Neill and Martin Jol all keeping tabs on his situation.
But he is believed to have been lured to the North-East by the promise of regular first-team football, which he is unlikely to get at the Theatre of Dreams due to the summer arrivals of Portuguese ace Nani and Brazilian star Anderson.