Andre Carrillo was the thorn in Australia's side after his stunning volley left to Socceroos with a mountain to climb in their must-win clash against Peru.
Paolo Guerrero got the other goal after the break in a 2-0 victory, which left Bert van Marwijk's side with just one point from three games.
In the end, even a win wouldn't have been enough to go through following France's draw with Denmark.
Even so, this was a disappointing way to bow out of the competition which at one stage promised so much.
Here are our player ratings.
Australia
Mat Ryan 5
Was unsighted for the first goal while the second took a deflection of Mark Milligan. Didn't have much to do other than pick the ball out of the net.
Josh Risdon 5
Struggled to get forward from right-back and left chasing shadows for Peru's second goal, which was created down Risdon's flank.
Mark Milligan 5
Got in the way of Ryan for Peru's first goal and was turned by Guerrero for the second goal.
Trent Sainsbury 5
Allowed Guerrero to run in behind him and set up Carrillo for the opener.
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