Manchester City have ended their pursuit of Alexis Sanchez and believe it is a straight fight between Chelsea and Manchester United for the wantaway Arsenal star.
The Citizens tried to sign Sanchez last summer, but Arsenal blocked his departure as they were unable to secure Thomas Lemar from Monaco as his replacement.
Manchester City have again been in the mix this month, but are unwilling to match the financial offer put forward by Manchester United, according to the BBC.
At current levels, Manchester City will not proceed with a bid to buy the Arsenal man.
It is also claimed that Chelsea are now firmly in the race for Sanchez and the Citizens believe the Chile forward will end up either at Stamford Bridge or Old Trafford.
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Manchester City were willing to pay £60m to sign the 29-year-old from Arsenal last summer and believe the current bidding war means they would be paying more in a total package than was the case in the summer.
Manchester United have widely been credited as being the favourites to sign Sanchez, but Chelsea's entry into the race has added a twist of uncertainty.
