The Matildas have gone down 3-2 to world No 39 Chile at Panthers Stadium on Saturday afternoon.
The victory for Chile will be a memorable one as in 2015 they were considered an inactive nation.
It was also their biggest win to date.
It was the first time the two sides were meeting with the Matildas having only ever faced two South American sides before. However, with FIFA world ranking points on the line for both teams, it was set to be an interesting match.
The Matildas had the better of the opening attack opportunities but were unable to exploit them with the Chilean defence sitting deep.
Australia had to try to find a way through the Chile defence and that came in the form of quick combinations from Caitlin Foord, Chloe Logarzo and Sam Kerr. It didn't take long for this to frustrate the Chilean's and force them into making an error.
Geraldine Leyton brought down speedster Foord in a clumsy challenge as she tried to shoot and the Matildas soon took the lead as Emily van Egmond slot the ball home from the spot.
While the Matildas were confident and moved the ball around well in the front third, they were a bit too casual at the back, which let them down.
Laura Alleway's backpass was seized upon by Maria Jose Urrutia, the ball then spilled to Francisca Lara who chipped the ball into an unguarded goal.
By halftime, the Matildas had 66 percent of possession and dominated in attack but just hadn't capitalised on their chances.
It came back to bite them in the second half after Ellie Carpenter conceded a free kick and Chile went on to take the lead through Carla Guerrero after a defensive mix up.
Unfortunately, it was a bittersweet goal with Maria Jose Urrutia being stretched from the field after feeling the full power of a collision with Lydia Williams.