Alarab, the TV-news station being launched by Saudi Arabian billionaire Prince Al Waleed bin Talal, will be headquartered in either Dubai or Bahrain, according to a senior executive.
Veteran Saudi Arabian journalist Jamal Khashoggi, who is managing the Arabic-language station, said a decision will be made "very soon".
"We are still choosing between... Bahrain and Dubai," Mr Khashoggi told The National. "Both countries have advantages. We're trying to choose the best."
He added that Dubai Studio City would be the most likely home for the station if the UAE was chosen.
Mr Khashoggi said he is travelling to both Bahrain and Dubai this week. He previously said that a decision on where to base the new channel would be made by mid-October.
Alarab is set to launch in December next year. The 24-hour station is being launched in conjunction with the US media giant Bloomberg, which will support the business news output of the channel.
The Arabic TV news market is currently dominated by Al Arabiya, based in Dubai, and Al Jazeera, which is funded by the Qatari government.
Another Arabic TV-news station, Sky News Arabia, will launch in Abu Dhabi in Spring of next year.