With the Chile global set to enter the final six months of his current deal at the turn of the year, and with no perceived intentions on Sanchez's part to pen a new contract, City will try and swoop for him again with a smaller fee.
Per Blackburn, City will look to take advantage of Arsenal's likely desire to recoup at least some money on Sanchez by bidding no more than £20 million for him in January-they failed with a £60 million move for him late in the recent summer transfer window.
Sanchez is now in the a year ago of his contract with Arsenal and, assuming he does not commit to new terms, will be available for free next summer.
If Sanchez joins City in January, Guardiola will have a plethora of options in attack which now also includes summer signing Bernardo Silva. "It's a complete rotation in the way people see their careers". One, all the players expect higher wages because they anticipate inflation.
Arsenal fans were critical of the clubs transfers and their handling of the Alexis Sanchez situation on deadline day.
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After his return from a post-Confederations Cup break was delayed by illness and an abdominal strain, Sanchez made his first appearance of the season for Arsenal last month in a humiliating 4-0 drubbing by Liverpool at Anfield.
Arsenal ace Alexis Sanchez has hit back at his "unreasonable critics" following Chile's second-successive World Cup qualifying defeat.
"And tomorrow is coming", he wrote on Instagram.
"You get exhausted to tell yourself "I will get up again" after crying about a defeat, and you get exhausted telling the world and the people that are with you that everything is okay".
"And what's worse is that no one ever realises how this makes you feel".