The Times says new Barca president Joan Laporta seriously considered moving for the Belgium international this summer.
However, after doing the sums, Laporta accepted a deal was unlikely.
De Bruyne penned terms to 2025 yesterday, stating: "I could not be happier. Since I joined City in 2015, I have felt at home. I love the fans, my family is based here in Manchester and my own game has developed really well.
"This club is geared towards success. It gives me everything I need to maximise my performance, so signing this contract was an easy decision to make."