HOSTS: Belgium & Holland, WINNERS: France
David Trezeguet scored the golden goal for world champions France, but they had to come from behind to beat Italy 2-1.
Marco Delvecchio's close-range volley put the Italians ahead on 55 minutes, but Sylvain Wiltord equalised deep into stoppage time, then Trezeguet blasted the winner on 103 minutes.
France also needed a golden goal to beat Portugal 2-1 in the semi-finals, Zinedine Zidane's winner from the penalty spot sparking ugly protests from several Portuguese, who were subsequently banned.
France triumphed by the same scoreline over Spain in the quarter-final, though they had lost 3-2 against Holland in Group D to surrender top spot.
The Dutch looked well set after a 6-1 win over Yugoslavia in the quarter-finals, but Patrick Kluivert could not replicate his hat-trick form against 10-man Italy in the semi-final, and the Dutch suffered at the penalty spot.
Francesco Toldo saved from Frank de Boer, while Kluivert hit the post with a second in normal time.
The game finished goalless and Toldo again saved from De Boer in the shoot-out, and also stopped from Marc Bosvelt to send Italy through, after the Azzurri had beaten Romania 2-0 in the quarter-finals.
Turkey made it out of Group B to the knock-out stages for the first time, ahead of hosts Belgium and Sweden, but then faced Portugal - who won their fourth-successive game thanks to a Nuno Gomes brace.
Portugal topped Group A ahead of surprise package Romania, who came from 2-1 down to beat England 3-2, Ionel Ganea slotting in the deciding penalty in the 88th minute, while holders Germany disappointed in last place.
Spain scored two injury-time goals in their last Group C match against already-qualified Yugoslavia to win 4-3.
After Gaizka Mendieta's penalty, Alfonso Perez grabbed the winner to send out Norway, who could only draw against Slovenia.
Holland topped Group D with three wins, while Czech Republic - who had won all 10 of their qualifying games - and goalless Denmark, missed out.