Arteta was the clear front-runner for the vacant manager's position at former club Arsenal and negotiations had been ongoing but, all of a sudden, news broke on Monday night that Unai Emery was set to be announced as the new Gunners boss.
Arsenal insist that they ran a "thorough process to find their successor to Arsene Wenger which included 'many hours of research analysis and interviews with prime candidates".
Wenger, 68, left the Gunners at the end of season after 22 years in charge, during which he won three Premier League titles and seven FA Cups, including two Doubles.
Wenger, however, will not have any say in the appointment of the new man, and was pictured waving goodbye as he left the club's Hertfordshire training complex on Monday.
How would Chelsea player Eden Hazard fit in at Manchester City?
Olivier Giroud improved the team greatly, but by the New Year, Chelsea's hopes of regaining the Premier League title were gone. Chelsea were crowned FA Cup champions after edging out a 1-0 win over Manchester United in the final at Wembley on Saturday.
As the latest reports would have it, Emery will be the one to occupy the manager's seat at the Emirates come next season after winning the Ligue 1 title with PSG this season, only to be replaced by Thomas Tuchel as a direct result of his Champions League failure.
Emery, who won three Europa Leagues during his three-year spell in charge of Sevilla, had been expected to return to Spain to take charge of Real Sociedad following the end of his two-year reign at PSG.
"What that all means now is that Unai Emery is the No 1 choice to be the next Arsenal manager".
Sven Mislinat was recently awarded head of recruitment. Here are a few facts you need to know.
Arteta, Luis Enrique and Juventus' Massimiliano Allegri were among those strongly linked to the role and Emery has only been seen as an outside bet with bookmakers since Wenger's departure was first confirmed last month. So, who is Unai Emery?