The Anfield club turned down a verbal offer of £25million plus £5m add-ons on Thursday night for the England international - per the Mirror - and have insisted they will not sell despite Sterling appearing adamant that he wants to move on.
This sparks the debate about whether it's worth keeping a player that does not want to be at your football club. For instance, former Liverpool defender Steve Nicol, as per ESPN, is of the opinion that the club should get on with it and sell Sterling if he is unhappy.
However, Manchester City will further test their resolve with an improved bid as manager Manuel Pellegrini looks to freshen up his squad after they finished second to Chelsea in last season's Premier League.
The report suggests that senior officials at the Etihad Stadium are keen on Sterling but are determined not to shell out more than market value for the 20-year-old, whose form dipped after an impressive World Cup campaign last summer - individually, at least.
City are not alone in considering Liverpool's £50m plus valuation as unrealistic.