Arsenal took the lead after just six minutes through Kai Havertz in just their second Champions League final.
Ousmane Dembele pulled PSG level from the spot just after the hour mark following a clumsy challenge from Arsenal defender Cristhian Mosquera.
Normal, added, and extra time came and went with no goals meaning the 2025-26 Champions League final would be decided on penalties.
In the end, it was Gabriel who missed the deciding spot-kick, skying his effort well over Matvey Safonov’s crossbar.
Speaking to TNT Sports after the game, Arteta admitted that it will be hard for his side to get over and insisted that his side should have had a penalty for a perceived foul on Noni Madueke.
"Yes, it is very tough to accept when you are so consistent in the competition all the way to the final and in the end you lose the trophy on penalty kicks, so it is a difficult one,” he said.
On Arsenal possibly deserving a penalty: "I watch it back and it could easily be a penalty. Especially we see the penalty they gave me this year in the competition.
“This season, the referee made a decision, and he made a different one with Cristhian Mosquera and that is an important one."