ESPN's Stephen Holder provided an update on where things stand with the Indianapolis Colts and free agent-to-be Alec Pierce.Holder had this to say in a post on X:"Theres been some positive movement in the past 24 hours. Talks w/ Alec Pierce continue and a deal today feels possible. But a long way to go. This will likely go down to the franchise tag deadline today at 4 ET."That franchise tag deadline that Holder mentions is key in all of this. If the Colts are able to get a deal done with Pierce or Daniel Jones before then, that will free them up to use the franchise tag or transition tag on the other player -- providing Indianapolis with some insurance rather than either Jones or Pierce hitting the open market.Update on Colts free agency:Theres been some positive movement in the past 24 hours. Talks w Alec Pierce continue and a deal today feels possible. But long way to go. This will likely go down to the franchise tag deadline today at 4 ET. Daniel Jones situation also fluid. Stephen Holder (@HolderStephen) March 3, 2026Teams are permitted to use just one of those tags each offseason. So if a deal with neither player is reached prior to 4:00 PM ET on Tuesday, then one of Jones or Pierce will be tagged -- and it sounds like it will be Jones -- which could then result in the other becoming a free agent if a deal isn't reached before free agency begins.Holder added, "Keep in mind: Pierce wants certainty at QB (big Daniel Jones guy). That does not exist at the moment."ESPN's Field Yates provided some additional thoughts on the current contract talks between the Colts, Pierce, and Jones."The biggest domino on tag deadline day is what happens with the Colts," Yates posted on X. "Absent a deal with Daniel Jones, he's almost certain to get a tag. Alec Pierce would then be set to cash in in a gigantic way if he wants to go to the open market. If the Colts can somehow find a deal in a hurry with Daniel Jones, Pierce feels tag-bound."Both Jones and Pierce are going to earn good-sized paydays. In what is a win-now season for Chris Ballard, retaining both players feels like a must.(This story was updated to add new information.)This article originally appeared on Colts Wire: Colts' insider with update on contract talks with Alec Pierce