Manchester City’s Billionaires proved too much for the young guns of Arsenal as they blew them away in a three goal second half display.

Goals from Carlos Tevez, Shaun Wright Phillips and Vladimir Weiss scored to set up a mouthwatering Semi Final against local neighbours and Champions United.

The first leg will be played at the City of Manchester stadium on the fourth of January and it looks sure to be a grudge match for the Blue half of Manchester.

After one of the most exciting derbies in history, City will undoubtedly want payback for the 4-3 defeat at Old Trafford after Ferguson’s team scored in the seventh minute of a criminally long extra stoppage time period.

United themselves booked their place in the semis with a victory over

Elsewhere, Portsmouth new boss Avram Grant watched his side lose yet again, this time at the hands of Aston Villa.

Although Pompey went ahead, through a Stilian Petrov own goal, goals form Emile Heskey, James Milner and Stewart Downing silenced the Fratton Park faithful. Veteran Nigerian striker Kanu added a faint hope on 87 minutes

before Ashley Young settled the Villa fans nerves and sent the Midlands club through to the next round.

They will face the winners of the tie of the round in Blackburn, who pulled off a shock penalty shoot out victory out of the hat. New signing Kakuta missed the vital penalty as Chelsea were stunned by the Lancashire side.

The score had been tied at 3-3 before a dramatic penalty shoot out was settled when

THE DRAW

MANCHESTER CITY v MANCHESTER UNITED

BLACKBURN ROVERS v ASTON VILLA

1st Leg matches due to be played week commencing 4th January 2010.

2nd Leg matches due to be played week commencing 18th January 2010.

BOOKIES’ FAVOURITES

The bookmakers have made Manchester United odds on favourites, but if City do manage to beat them then look for a City-Villa final and another possible penalty shoot out between two evenly matched sides.