The 20-year-old was injured when violence flared on Spa Lane Croft, Woodhouse, at around 3.55am today.
He was taken to hospital for treatment and a 34-year-old man was arrested on suspicion of causing grievous bodily harm.
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South Yorkshire Police said: “Emergency services were called to Spa Lane Croft in the Woodhouse area of Sheffield at 3.55am following reports of a disturbance.
“It is reported that during a dispute outside a block of flats on the road a 20-year-old man was slashed with a knife on his face.
“He was taken to hospital for treatment but his injuries are not thought to be serious.
“A 34-year-old man was arrested at the scene on suspicion of causing grievous bodily harm. He remains in custody.”
Anyone with information should call 101 and quote incident 127 of October 10.