Ryan Giggs expects United and City to battle it out
Pep Guardiola's side finished third last season, eight points behind runners-up Tottenham and 15 adrift of champions Chelsea.
But City have not been afraid to splash the cash this summer in a bid to compete for the title this time round, spending over a combined £130million on Benjamin Mendy, Kyle Walker and Danilo.
And Manchester United legend Giggs reckons City are the front-runners to be lifting the trophy come May.
"I think Manchester City are the team to beat," he told Sky Sports.
"I looked at them towards the end of last season and the forward players they've got is scary, with Sergio Aguero, Gabriel Jesus, Leroy Sane, Kevin De Bruyne, David Silva and Raheem Sterling.
Ryan Giggs reckons Chelsea could struggle to juggle Champions League and Premier League matches
I think Manchester City are the team to beat
Ryan Giggs
"What they needed to get right was their defence and it will be interesting to see how Ederson settles in, because you don't win the Premier League with an average goalkeeper.
"They've obviously invested heavily on full-backs but the question is still whether Vincent Kompany can stay fit because his influence and experience are key for them."
Giggs reckons Chelsea can't be written off with the quality they have in their squad but believes they could struggle with the added return of Champions League football to contend with having not had it last term.
"You can't ignore Chelsea because of their quality, but have they got the squad to balance defending the Premier League and European football? I'm not sure," he added.
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Ryan Giggs says Pep Guardiola's Manchester City are the team to beat this season
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Tottenham and Everton will also be in the mix Giggs says, although both teams have had completely different transfer windows.
The Toffees have spent almost £100m on players with seven new arrivals, while Spurs are the only club in the league not to have made a signing.
Giggs added: "Tottenham have a really exciting squad and a great manager in Mauricio Pochettino, but everybody is asking whether they can continue to match sides without signings.
"I think they need a couple, not to improve their starting line-up but to make the squad better, while they've also got the Wembley factor, so they really need to get off to a good start.
"Everton are an interesting one and Ronald Koeman has made plenty of signings, including obviously bringing back Wayne Rooney. He's a proven goalscorer and scores more often than not when he gets chances."
