Subotic feels Arsenal sent out a major signal of intent when they signed the Germany international.
He told the London Evening Standard: "It was definitely something I didn't expect or saw coming. In the past years, from what I could tell, Arsenal were more likely to sell a player for £40million instead of buying one.
"This is a step forward for them, they have grown and are now buying the kind of players they had to sell a few years ago. In the last few years, the best players are increasing in value. Everyone is trying to make a statement and Arsenal have done that.
"Sometimes it can take six months or even a year to get accustomed to the League but, within a few games, Ozil already has a lot of assists and goals.
"I was surprised Real Madrid sold him. He played against us four times in the Champions League last season and scored in the last minute of one of the group games to tie the match.
"He's just very talented. He has nearly perfect technique with his left foot, he knows where to pass the ball, to find the open man, the deadly pass. He has all the offensive qualities any coach would want.
"When you are bought for £40m, you have everything you need to play at the highest level. You belong to the best in the world, he has a lot of quality and is one of the best in his position."
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