Two people familiar with the process said Bertelsmann offered more than $2 billion, according to the report. (https://on.ft.com/3fse6Xo)
ViacomCBS Chief Executive Bob Bakish said in March that he was exploring options for Stephen King publisher Simon & Schuster, as the company looks to focus on its advertising and streaming businesses.
Bertelsmann, which owns Penguin Random House - the world's biggest book publisher, outbid Rupert Murdoch's News Corp, the FT report said.
The Financial Times had in September reported Bertelsmann's interest in Simon & Schuster.
ViacomCBS did not immediately respond to a Reuters request for comment.
(Reporting by Ayanti Bera in Bengaluru; Editing by Devika Syamnath)