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Italy approached Carlo Ancelotti to become their national team manager before holding talks with Pep Guardiola.
The Azzurri have been without a head coach since Gennaro Gattuso resigned in April following the country's failure to qualify for a third successive World Cup.
Earlier this week, Italian Football Federation (FIGC) president Giovanni Malago said talks had been held with Guardiola, who left Manchester City this summer after 10 years, and "exceptions" could be made for his salary.
But on Thursday, FIGC technical director Paolo Maldini said Italy first approached their former player Ancelotti, who is currently in charge of Brazil.
"We cannot hide the fact that we also spoke to Carlo before talking to Pep," said Maldini during a news conference.
"Frankly, it seemed right to start with those we considered the best in the world."
Ancelotti, a former team-mate of Maldini for both Italy and AC Milan, took charge of Brazil in 2025 and extended his contract in May until the 2030 World Cup.
And despite a World Cup last-16 exit at the hands of Norway, the Brazilian Football Confederation confirmed the 67-year-old will remain in charge of the five-time world champions.
Maldini, a former defender who earned 126 caps for Italy, said FIGC would ideally appoint a coach by the end of the week but the priority was getting the right man.
Italian news outlet La Gazzetta dello Sport reported, external Guardiola was seeking an annual salary of 20m euros (ÂŁ17m), which is double what Italy was offering.
"We honestly cannot provide any updates on what is happening at the moment," added Maldini when asked about the report.
Guardiola, 55, led City to six Premier League titles, three FA Cups, five League Cups and the Champions League during a trophy-laden decade in England.
Former Italy managers Antonio Conte and Roberto Mancini, as well as former Azzurri midfielder Andrea Pirlo, have also been linked with the job.
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