The source stated that the Chinese e-commerce group has amended its remedy package to resolve issues highlighted by regulators.
The Japanese chain could seek an alternative domestic tie-up to maintain its Indian operations, though plans remain unfinalised.
People familiar with the matter told Reuters that the companies were assessing connected-camera listings offered by third-party merchants and brands.
US retail sales grew for an 11th consecutive month in August, although a change in NRF methodology limits comparisons with earlier data.