Though I'm yet to confirm the news of Kylian Mbappe's contract extension with Paris Saint Germaine but the I already know that the both parties had earlier reached an agreement to extend his contract till the summer of 2025 so that when the Frenchman will be leaving in the summer to Real Madrid, they'll make a reasonable amount of money from his sales.
Kylian Mbappe is one of the best players on the planet at the moment and would definitely do well wherever he finds himself because of the football abilities he has. Real Madrid knows how important he'll be for them if they finally sign him and I'm sure they'll do anything possible to bring him to Santiago Bernabeu next summer.
Mbappe will officially have a contract with PSG until the end of this season but he has a clause to activate one season until 2025 but he didn't do that. So the news circulating seems to be that there is no recent news about Mbappe renewing his contract, so Mbappe is still one of the players who has free transfer status after this season ends. I think if Mbappe renews his contract of course many media will publish news about Mbappe but for now there is no latest news about Mbappe contract at all.
So there is more open hope for other teams to sign Mbappe for free next season because he is a free transfer player. For now, it seems that PSG will continue to persuade Mbappe to renew his contract in order to remember Mbappe longer with PSG. So we'll just have to wait and see whether Luis Campos will succeed in persuading Mbappe to sign a new contract.