The English born Ghanaian was red-carded just four minutes after being on the pitch following a reckless challenge on James Justin.
Arteta feels Leicester City goalscorer Jamie Vardy should have also been shown the marching orders after an early nasty challenge on Shkodran Mustafi.
"I am extremely proud of the team - the way we played, against this type of opposition, and how dominant we were," Arsenal boss Arteta told Sky Sports.
"In the first half we should have gone three- or four-nil up and killed the game.
"With the red card decision, he doesn't see the player and you have to know that he is a young kid.
"But if that is a red card then Leicester have to play with 10 men after 42 minutes. That has to be a red card as well."
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