Smith spent nine years at the club in the 1980s and 1990s, winning two league titles.
He told the Mail on Sunday: "Suarez marks a sea change in the type of player Arsene is going for, more aggressive in character, something that’s been lacking from the Arsenal squad in recent years.
"Everyone has spoken about the trophy drought or too long. Higuain going to Serie A was a real worry. Arsene is adamant he doesn’t want to sign a player over the odds but maybe it’s got to the point where they have to bite the bullet because they haven’t made signings in a way they suggested they would.
"Of course you can’t grab world-class signings out of thin air but it’s getting to the point where it can’t go on much longer.
"The most worrying aspect is that he’s got the money but can’t add to the squad which builds up the frustration. The manager is now getting stick from fans for whom he was God. It’s time to kick on but maybe if you can’t, it’s time for someone else."
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