Inter Milan coach Jose Mourinho expects bitter rivals AC Milan to be one of the leading sides in Italy next season.

This was despite the departure of long-time coach Carlo Ancelotti.

Ancelotti has ended an eight year spell at the helm of Milan to take the reins of Chelsea, an appointment that was confirmed by the Premier League club today.

"Carlo has made history at AC Milan," said Mourinho.

Watch Carlo Ancelotti's interview here

"But Milan will move on, they will have a great coach and will continue to be an important club."

Milan have unveiled Leonardo as Ancelotti´s successor and Mourinho believes the Brazilian will do well.

"Leonardo knows football and has experience," said Mourinho.

While Leonardo has won titles as a player at Milan and with Brazil, Mourinho said coaching will be a very different challenge.

"At the end of next season, he (Leonardo) will no doubt have more grey hairs," he joked.

The former Chelsea boss led Inter to their fourth successive scudetto this season in his first year at the club.

The Nerazzurri finished 10 points clear of Milan in the Serie A standings.