The Manchester United boss said "the gameâ€™s gone mad" after he missed out on Brazil starlet Lucas Moura to a last-minute Â£34million bid from the Qatar-backed French club.
"Players now come to PSG for the project," Ancelotti told Gazzetta dello Sport. "Lucas will join a strong Brazilian colony here and for him it is better to live in Paris.
"United offered one amount and PSG offered slightly more. Itâ€™s called the law of the market.
"This year we have invested so much because we want to be competitive straight away, but we wonâ€™t always buy four or five players. Next year weâ€™ll be more shrewd."