Arsenal manager Mikel Arteta admits title rivals Liverpool have assembled the "strongest" squad in the Premier League after the champions signed Alexander Isak for a British record fee.
Liverpool splashed out £125 million ($169 million) to Newcastle on Sweden striker Isak to add yet another attacking option to Arne Slot's side.
Fresh from their record-equalling 20th English crown last season, the Reds spent over £400 million on new recruits, with Florian Wirtz arriving for £100 million from Bayer Leverkusen.
Liverpool's spree was around £200 million more than Arsenal spent on eight new players but their net spend was actually less due to over £200 million in sales.
Slot's men edged an early clash between the title favourites with a 1-0 win over the Gunners at Anfield before the international break.
Liverpool sit top of the table with the only remaining 100 percent record in the top tier after three successive wins, while Arsenal have six points.
Asked how the arrival of Isak at Anfield could shape the title race, Arteta, whose side finished 10 points behind Liverpool last season, said: "They are the strongest for sure.
"They have recruited the two most decisive players that were in Europe in the market (Isak and Wirtz), and they did really well to do that.
"They were very, very strong, and we need to look at ourselves and what we have to do in terms of our abilities to be better than them."
Arsenal haven't won the title since 2004 and Arteta's only trophy in his five-year reign was the 2020 FA Cup.
After finishing as runners-up in the Premier League for the last three years, Arteta knows the task of overhauling Liverpool will be formidable.
"It is not about Liverpool, but the league in general and how difficult it will be with the level that it is to be so consistent and win the amount of matches you need to earn the right to win the title," he said.
"That is going to be a really long run for all of us."
ANGE'S TEAMS 'A JOY TO WATCH'
Arsenal take on Nottingham Forest at the Emirates Stadium on Saturday without England winger Bukayo Saka following a hamstring injury he sustained in the 5-0 win over Leeds last month.
However, France defender William Saliba trained on Friday and is in contention to face Forest after limping off against Liverpool.
Arteta will lock horns with former Tottenham boss Ange Postecoglou as the Australian prepares for his first game in charge of Forest.
Welcoming Postecoglou back to the Premier League, Arteta said: "With Ange, his biggest strength, in my opinion, is the way he's been. He has put his fingerprints on that team, and he has a very clear way of playing, and a very clear DNA.
"It is extremely good to watch. I have learned a lot from him, and it will be a very difficult game.
"As a character, as a person, what he transmits, what he brings to football, it's a joy to watch his teams. So, I am very welcome to having him back."