Speaking to Cadena COPE, Spain coach Luis de la Fuente admitted that at one point over the summer he believed Rodri Hernández was heading to Real Madrid rather than the Barcelona side the midfielder eventually joined.
"There were moments when I did think he would sign for Real Madrid," said De la Fuente.
"I have a good relationship with him and knew how the talks were going. For me, the most important thing is to see these great players in Spain.
"If we want to keep being the best, we have to invest in Spanish players, who are also the best."
Rodri ultimately joined Barcelona from Manchester City on 18 August, in a deal worth up to €76.5 million on a four-year contract, having also been strongly linked with Real Madrid over the summer.
De la Fuente also reflected on his own new contract, which ties him to the national team until 2032, describing the negotiation as straightforward.
"It was very simple and very easy for both sides. I'm at the best moment of my personal and professional life to take on this challenge. I don't place much importance on the financial side, but I used to be among the worst paid, and now I'm on the other end of that scale."