AC Milan vice-president Adriano Galliani has admitted the club cannot compete financially with Manchester City in the race to sign Ronaldinho.
Galliani said Milan and other Italian clubs are being squeezed out of several transfer moves as clubs in Spain and England have more money to spend.
"Manchester City have offered the Brazilian (Ronaldinho) €12 million a year. We can only compete with that if they (Barcelona) give him away for free." he said in Gazzetta dello Sport.
Galliani added: "I cannot ignore that Italian football is now in fourth position in Europe behind England, Spain and Germany," he said in Gazzetta dello Sport.
"We simply cannot compete with certain figures anymore."
Galliani is hoping that Barca will rethink their pricing structure, particularly since it has become clear that Ronaldinho, Samuel Eto'o and Deco - all targets of the Rossoneri - are surplus to requirements at the Nou Camp.
New Barca coach Pep Guardiola has revealed that all three could leave, but their valuations remain high, particularly since clubs such as Chelsea and Internazionale, for whom money is less of an issue, are knocking at the door.
The Rossoneri, on the other hand, can only hope the players remain available as the transfer window closes at the end of August, and that out of desperation to sell them, big discounts are offered.
"We will do all we can to sign a striker, but it is not easy," Galliani added. "We will not be spending crazy amounts of money, and there are important economical reasons which have made us reflect on this."