Whilst that means the board could still refuse to extend Wenger's deal, which expires at the end of the season, the likelihood is they'll hand him new terms if he wants to stay.
Sutton said also Wenger wants to "surround himself with "yes" men", and that has been his downfall.
A 10-2 aggregate defeat to Bayern Munich, meanwhile, condemned the Gunners to a seventh straight last-16 exit in the Champions League. West Bromwich Albion manager Tony Pulis also said Wenger told him he meant to stay on after Arsenal's 1-3 defeat at The Hawthorns on Saturday.
Speaking on BBC Radio 5 live's The Monday Night Club, Sutton, a Premier League victor as a player with Blackburn Rovers in 1995, added: "He's been selfish".
Collins, once again, tried to play devil's advocate, and said that Sutton isn't privy to what goes on behind the scenes at Arsenal.
Arsenal have rubbished reports that they have made an approach for Borussia Dortmund manager Thomas Tuchel, as speculation remains rife about the future of the Gunners' current head coach Arsene Wenger.
"His work in the transfer market has been a failure lately".
Arsenal, sixth in the table, are 19 points behind leaders Chelsea in the Premier League and their last realistic chance of winning a trophy this season is the FA Cup.
"Do the right thing and if you're not going to do the right thing then tell us".
"We hope to win the cup and qualify for the Champions League".
Wenger's players have always been extremely loyal to him, and it is no surprise to see his compatriot, Giroud, come out in support of him remaining in charge.