Pep Guardiola's Manchester City demonstrated its Club World Cup credentials with a 5-2 victory over Juventus on Thursday while Vinicius Junior starred as Real Madrid beat Salzburg 3-0 to secure a spot in the last 16.
Al Hilal of Saudi Arabia beat Pachuca of Mexico 2-0 to pip Salzburg to the last berth in the knockout phase, as Al Ain battled to a 2-1 win over Wydad Casablanca in the day's other game.
City became the only side win all three of its group matches as it put Juventus to the sword in front of 54,320 at the Camping World Stadium in Orlando.
City now faces Al Hilal, the only Asian representative in the next round after Salem Al-Dawsari and Brazilian Marcos Leonardo both scored against Pachuca.
"We played well, and I'm happy with the victory," said City winger Jeremy Doku, who opened the scoring.
Doku pounced for the early opener after new arrival Rayan Ait-Nouri set him up with a clever ball.
However, City stopper Ederson passed the ball straight to Teun Koopmeiners, who leveled for Juventus, in one of the few moments in which Guardiola's team let its focus slip.
Pierre Kalulu bundled into his own net from Matheus Nunes' cross to restore City's lead.
The Premier League side, hoping to make up for a poor season by its standards, in which it finished without a major trophy, stepped up a level after the break with Erling Haaland's introduction.
The Norwegian striker tapped home the third goal and then helped create the fourth for Phil Foden, before Savinho smashed home from distance for the fifth.
Dusan Vlahovic scored late for Juve, but it did not take the shine off an impressive triumph for City, which was able to give midfielder Rodri a first start after his long injury layoff.
"Manchester City have a lot better (quality of) players than us, that's the truth, that needs to be acknowledged," Juventus coach Igor Tudor said as his side finished second in Group G.
"The stars didn't align for us to play better tonight."
Al Ain got the better of Wydad in Washington in a meeting of two teams who were already eliminated but were hoping to sign off with a victory.
South African striker Cassius Mailula blasted the Moroccans into an early lead, but Togo international Kodjo Fo-Doh Laba leveled from the spot just before the break for Al Ain.
That was its first goal of the tournament after 5-0 and 6-0 thrashings by Juve and City, respectively, and Paraguayan international Alejandro Romero curled home from the edge of the box to give the team from the United Arab Emirates a victory.
Vinicius scored one goal and made another with a touch of class as Madrid saw off Salzburg in Philadelphia to clinch the top spot in Group H.
Real faces Juventus in the last 16 in Miami on Tuesday.
Vinicius opened the scoring after a superb defense-splitting pass by Jude Bellingham in the 40th minute, to the delight of the vast majority of the 64,811 crowd on a rainy night at Lincoln Financial Field.
Vinicius then set up Federico Valverde with a clever backheel to make it 2-0 in first-half stoppage time.
Young striker Gonzalo Garcia ran through to wrap up the win late with his second goal of the tournament, as Xabi Alonso's team ended the first round of FIFA's new tournament unbeaten.
"I am pleased with the boys, and now the interesting phase begins," Alonso told broadcaster DAZN.
Madrid was again without top scorer Kylian Mbappe, who has yet to play at the tournament as he recovers from illness.
"We thought Kylian would make it, and it wasn't to be," Alonso said. "Now we have four days, and I want to be optimistic but cautious at the same time."