PSG are back in contention for the controversial Argentine's signature after Alexandre Pato rejected a €35 million transfer to the big-spending club earlier in the week.
"Tevez is a player I really like, he is fantastic," Ancelotti told reporters after his side's 3-1 Ligue 1 victory against Toulouse on Saturday.
"If we want to play at a high level, we must act well in the market, looking for players who can give us a hand."
Despite Milan CEO Adriano Galliani stating that his side are out of the race for Tevez, Kia Joorabchian, a representative of the striker, claimed yesterday that a transfer to the Rossoneri is still possible.
The Ligue 1 leaders will also have to fend off interest from Inter and Corinthians in the temperamental striker, who has been frozen out of City's squad after allegedly refusing to warm up in a Champions League match against Bayern Munich in September.
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