Gunners boss Arsene Wenger chased the Australian number one all summer as he looks for a keeper to challenge Manuel Almunia, but it came to no avail as the Cottagers fought tooth and nail to keep the 37-year-old.
Schwarzer was left out of the West London club's first three Premier League games of the season in favour of David Stockdale, who has impressed between the sticks.
It was thought that this move by new manager Mark Hughes meant that the former Middlesbrough stopper would be allowed to move to the Emirates.
However, the move never materialised, with Arsenal refusing to up their £3million offer, leaving Schwarzer still at Craven Cottage.
He refused to make any direct comments as it could upset the club's supporters, however it was clear that he was frustrated about his move being blocked.
"I would rather not say anything," he said.
"I would really rather not say anything because otherwise I might say something wrong."