Pep Guardiola is not planning a busy January window for the first team but the club are busy recruiting for the future, with Smith coming in to join the Elite Development Squad.
The 17-year-old winger attracted the interest of a number of clubs over the last year including Liverpool and Rangers. Despite not making his senior debut, he impressed the Blues enough for them to convince him of a move and strike a deal with the Scottish club.
Smith's arrival is the latest in a string of signings aimed to bolster competition in the academy; Oscar Bobb, Samuel Edozie, Oscar Tarensi and Liam Delap all joined the club last summer.
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