Champions League clash with the side at the Etihad Stadium.
The former Liverpool ace insisted that their team is full of individuals and this could be the reason for their failure to yet hit top form in Europe.
He feels that City players are plagued with inflated egos, something which is hindering them at the moment both in European and domestic competitions.
Manchester City lost the reverse fixture against Ajax 3-1 and Babel put that result down to teamwork and a successful work ethic in the Dutch side.
“Against City in the first game you could see the perfect example of a real team effort by Ajax against a team of individuals,” Babel told the Daily Mail.
“We noticed how the frustration got the better of them during the game. And we saw how the players were directing those frustrations towards each other.
“That is the danger of a club with so many big-name players and so many big egos.”
The 25 year old was quick to also hail his manager who has instilled a strong mentality within the side to not give in, when put under severe pressure.
Despite struggling to deliver the goods against Real Madrid, their 3-1 victory in the last round of fixtures was especially sweet for the Dutch outfit.
“[Manager Frank] de Boer wants us to understand that we can beat the biggest teams with good football,” Babel added.
Ajax will be hoping to carry that belief into the 19.45 kick off tonight, where City are hoping to finally kickstart their Champions League campaign.