Serie A leaders Inter Milan beat Lazio 2-0 in the Italian Cup on Tuesday to set up a mouth-watering semi-final showdown with city rivals AC Milan in April.

On a misty night at Milan's San Siro veteran Inter striker Marko Arnautovic produced a thunderbolt volley to break the deadlock from a half-cleared corner after 39 minutes of a tight first half.

Inter's dead-ball specialist Hakan Calhanoglu then converted a spot-kick sending 'keeper Christos Mandas the wrong way on 77 minutes to make it 2-0.

Simone Inzaghi's Inter also went top of Serie A at the weekend, and now take on second-placed Napoli away in their next outing on Saturday.

Defending Italian Cup champions Juventus play Empoli on Wednesday to decide who takes on Bologna in the other semi-final in a home and away format to be played on April 2 and April 23.

Last week Joao Felix helped AC Milan into the semi-finals with his first goal for the seven-time European champions in a 3-1 win over Roma.

While Santiago Castro fired Bologna into the semis with the only goal in last Tuesday's 1-0 win at Atalanta.