Holders Spain were knocked out of Euro 2016 in a 2-0 defeat by Italy on Monday after goals by Giorgio Chiellini and Graziano Pelle set up a quarter-final with world champions Germany.
Chiellini opened the scoring after 33 minutes while Pelle wrapped up the victory in stoppage time to end Spain's reign as European champions which covered the 2008 and 2012 tournaments.
Chiellini's strike was the first goal Spain conceded in a knockout match at a European Championship or World Cup since Zinedine Zidane scored for France at the 2006 World Cup.
Meanwhile, Iceland pulled off one of the biggest shocks in European Championships history when they stunned a woeful England 2-1.
Although the soccer pedigrees of the two countries could not be more different, Iceland looked the better team in just about every aspect of the game and fully deserved to extend their dream run on their first tournament appearance.
After falling behind to a fourth-minute Wayne Rooney penalty, they levelled almost immediately through Ragnar Sigurdsson and struck again in the 18th with a shot by Kolbeinn Sigthorsson.