Paraguay advanced to the Copa America semifinals on Sunday by defeating defending champion Brazil 2-0 in a penalty shootout after the game was 0-0 following extra time.
Paraguay goalkeeper Justo Villar stopped Thiago Silva's shot and Elano, Andre Santos and Fred also missed for Brazil, which was eliminated from the South American competition a day after host Argentina lost to Uruguay.
Brazil dominated from the start but couldn't capitalize on its scoring opportunities due to a great performance by Villar.
Paraguay will face Venezuela, which beat Chile later Sunday. Uruguay and Peru, which eliminated Colombia on Saturday, will meet in the other semifinal.
This will be only the second time since 1987 that the final will not include either Brazil or Argentina. In 2001, Colombia defeated Mexico 1-0.
Paraguay advanced despite not winning any of its four matches.
In San Juan, Argentina, Venezuela reached the Copa semifinals for the first time as Oswaldo Vizcarrondo and Gabriel Cichero scored either side of halftime to beat Chile 2-1 on Sunday.
Humberto Suazo equalized briefly for Chile in the second half.
Venezuela is unbeaten in four games at the Copa America and has been the surprise team in a surprising tournament.
Venezuela will face Paraguay on Wednesday, while Peru plays Uruguay in Tuesday's other semifinal.
Diego Graglia contributed from San Juan.