The Argentine claims that the Rojiblancos are not missing their former talisman, who left for Monaco earlier this summer in a deal worth a reported £53 million
Falcao scored 70 goals in 90 appearances for the Rojiblancos before leaving for Monaco this summer for a reported €60 million [£52.1m].
Simeone, though, believes that in former Barcelona attacker David Villa Atletico have signed a more than able replacement.
"Falcao was the reference man on our team and we looked to supply him," the Argentine is quoted as saying by Marca.
"David is similar in position. He has good technical quality and has a better understanding of the game than Falcao does."
Atletico are currently on tour in South American preparing for the Spanish season's traditional curtain-raiser, the Supercopa, against Barcelona on August 21.
Simeone has nothing but admiration for the Blaugrana but insists that he will not try to fight fire with fire when the two sides collapse.
"To play like Barcelona you need to have the best players in Spain, world and European Champions, and Messi," he pointed out. "Everyone fell in love with the way Barcelona play."
Simeone, who led Atletico to the Copa del Rey last season, has overseen a dramatic improvement in the capital club's fortunes since returning to the Vicente Calderon as a coach in December 2011.