Conte had put the former Blues striker at the top of his wanted list this summer, but the Everton man is poised to sign for Manchester United after the two clubs agreed a fee in the region of £75million.
Reports have suggested that Chelsea are still in with a shout of landing Lukaku, but with the player set to undergo a medical with United, barring a dramatic U-turn, this now looks unlikely.
The news is said to have infuriated Conte, who is already said to be frustrated with Chelsea’s lack of transfer activity this summer, and missing out on Lukaku could be the last straw.
Conte is said to have walked away from Juventus after becoming frustrated with their transfer dealings, and it has been suggested the same could happen at Stamford Bridge.
Real Madrid striker Alvaro Morata is still a target, so too Tiemoue Bakayoko and Antonio Rudiger, meaning Chelsea could have to push through a couple of quick deals or risk Conte heading for the exit door.