Entering the 21st century, Germany's standing as one of the best national sides in the world, and as of a team that almost always reaches the later rounds of major tournaments, was starting to be discouraged by disappointing results.
In Euro 2000, the aging team went out in the first round after failing to win any of their three matches, including a 1–0 defeat to rivals England and an embarrassing 3–0 loss to a second-string Portugal side (the Portuguese having already advanced). Rudi Völler replaced Ribbeck as coach, initially on a temporary basis, and later permanently after planned successor Christoph Daum was involved in a drug scandal.
Coming into the 2002 World Cup, expectations of the German team were low, due to poor results in the qualifiers, including a 5–1 home defeat against England. However, they started out strong by thrashing Saudi Arabia 8–0 in their first match. At the knockout stages, they produced three consecutive 1–0 wins, against Paraguay, the United States, and co-hosts South Korea, setting up a final against Brazil, the first World Cup meeting between the two. However, with the pivotal Michael Ballack suspended due to accumulated yellow cards, Germany's chances had declined. In a hard-fought match, Germany lost 2–0. German captain and goalkeeper Oliver Kahn won the Golden Ball, the first time in the World Cup's history a goalkeeper was named best player of the tournament. Simultaneously, he won the Yashin-Award as the best goalkeeper.
Germany failed to build on their success in 2002, and again exited in the first round of Euro 2004 without winning a match. As was the case in 2000, the Germans bowed out after losing to the second-string side of a team that had already advanced, in this case that of the Czech Republic, in a match where Germany dominated but couldn't get the ball into the net, losing to a Czech goal scored on the break. Völler resigned afterwards, denouncing the constant media criticism in a famous TV interview, and the national team had to find their third new coach in six years, after having had only six coaches in the previous 75 years. As prospective candidates including Ottmar Hitzfeld and Otto Rehhagel turned down the job, former national team player Jürgen Klinsmann, who had never held any coaching jobs before, was appointed. In similar style to Beckenbauer's former role as team manager without a coaching license, the experienced Joachim Löw from Stuttgart would assist him. Klinsmann made Michael Ballack the captain following Euro 2004. Klinsmann's main task was to lead the national team to a good showing at the 2006 World Cup, which Germany were going to host. Although the host nation, hopes prior to the start of the tournament proper were not as high for Germany as in previous tournaments, even in Germany itself. Critics had pointed out the apparent lack of quality players in the squad and coach Klinsmann's decision to live in America rather than Germany.
Germany, however, won the opening game of the World Cup against Costa Rica 4–2. They continued to develop both confidence and support across the group stage, conceding no further goals as they beat Poland 1–0 and Ecuador 3–0, with Miroslav Klose scoring twice and Lukas Podolski adding another in the last match. Germany finished on top of the group with three wins.
The team went on to defeat Sweden 2–0 in the round of 16, with Lukas Podolski netting both goals in only 12 minutes, from assists by Miroslav Klose.
Germany faced favourites Argentina in the quarter-finals, a team that Germany had not defeated since the 1990 World Cup. Germany's shutout streak was broken shortly after half time as Argentina scored first to grab a 1–0 lead. However, Michael Ballack's cross, flicked on by Tim Borowski, allowed Klose to head in the equalizer with 10 minutes to spare. During penalties, Jens Lehmann stopped two spot kicks while his teammates made all of the necessary goals to win the decisive shootout 4 – 2. Afterwards, the Argentinians started a brawl, which later, after Italian TV showed video footage of Torsten Frings participating in the brawl, resulted in a ban for him.
These results produced much expectation in Germany, many thinking that a record eighth appearance at the final was possible even though a vital player was missing, and the team was tired after going the full distance against one of the best teams. Taking the semi-final against Italy to extra time again, hopes grew high that yet another penalty shoot-out would take the team to the final in Berlin. Despite Klinsmann's focus on fitness, speed and concentration of German players faded, conceding two goals in the dying ninety seconds of the extra time.
Despite having their dreams of playing in the final dashed, Klinsmann's squad quickly recovered their composure, and journalists noted the team's upbeat mood in the practices after the semi-final. Three starters, including captain Michael Ballack, would not be available for the third place match. They faced the Portuguese team, with goalkeeper Ricardo having only conceded one goal in regular play. Nonetheless, Germany thoroughly routed Portugal 3–1, at one point being up three goals to nil from Bastian Schweinsteiger's two goals and an own goal, also off his shot, by Portugal's Petit.
Germany managed to end the World Cup on a high, not only with a 3–1 win over Portugal in the battle for third place, but also with several awards: Miroslav Klose was awarded the Golden Boot for his tournament-leading five goals, becoming the first player from the united Germany to earn it, and fellow striker Lukas Podolski won the 'Best Young Player' award. Furthermore, four of Germany's players (Jens Lehmann, Philipp Lahm, Michael Ballack and Miroslav Klose) were selected for the 'Mastercard All-Star Team'. In addition, at 14 goals scored, the German side put away more goals than any other team. At the end of the tournament, more than 500,000 people celebrated the team's closing ceremony by giving them a heroes welcome at the Brandenburg Gate in Berlin. Germany had a much better World Cup than many – at home and abroad – ever believed possible.[citation needed]
Germany's entry into the Euro 2008 qualifying round was marked, not least, by the promotion of Joachim Löw to coach. In a group with the Czech Republic and the Republic of Ireland among others, Germany qualified comfortably, defeating San Marino in a historic 13–0 record away win on the way.
For the final tournament, Germany were placed into Group B alongside Poland, Croatia and longtime rivals Austria. Germany won 2–0 to Poland, but suffered an ignominious 2–1 defeat at the hands of Croatia, compounded by a red card for Bastian Schweinsteiger for an aggressive off-the-ball incident. Germany finally entered the knockout round with the victory over Austria in the last match of group play. The only scorer of the game was Michael Ballack, who scored in the 49th minute with a powerful long-distance free-kick, later chosen German Goal of the Year. Their quarterfinal opponent was Portugal who won their group comfortably. Germany started very well and took an early lead after a great team move led to Schweinsteiger finishing a cross from Lukas Podolski. Germany then took a 2–0 lead when Schweinsteiger curled in a free kick from the left side and Miroslav Klose headed the ball in. Portugal responded with a goal just prior to halftime, but after the second half began Germany reclaimed their two goal lead. Schweinsteiger delievered another free kick into the Portuguese penalty box and Michael Ballack headed the ball into the net to make the score 3–1, and Germany saw out the rest of the match comfortably, conceding a late consolation goal leaving the final score at 3–2.
Germany went into their semi-final clash against Turkey as overwhelming favorites. However, the team put up a nervous and shaky performance, getting behind by an Uğur Boral goal in the 22nd minute. Bastian Schweinsteiger equalised, and Miroslav Klose put Germany ahead with less than twelve minutes left only for Semih Şentürk to level the score in the last minutes of the match. Just as the game was heading for extra time, Philipp Lahm cut inside past Colin Kazim-Richards, exchanged passes with Thomas Hitzlsperger and stole in at the near post to score in the final minute, sending Germany into the final against Spain.
Spain were heavy favourites but many believed that Germany would be one of the few sides able to challenge them. After an opening 15 minutes in which Germany had the upper hand and nearly scored, Spain slowly came back into the game and then took the lead when Fernando Torres capitalised on a mistake made by the German defence. Although a Spanish defender appeared to handle the ball inside the box in the second half, Spain had the better of play for the remainder of the match and Germany finished runners-up.
Recent history was marked by Löw's attempts to rejuvenate the squad, bring in new players such as René Adler or Serdar Tasci in order to spark internal competition, which has led to some disharmony in the squad.[6] For the qualification for World Cup 2010, Germany were placed in a group with Azerbaijan (led by former Germany coach Berti Vogts), Finland, Liechtenstein, Russia and Wales.
