Manchester City are out of the International Champions Cup at the group stage after losing to Olympiacos in a penalty shootout.
The Premier League title holders were beaten 5-4 on penalties, after the game finished 2-2 after 90 minutes.
City finish the pre--season tournament in the United States on five points in Group B, but go out of the tournament as they are behind Liverpool on the head-to-head.
Brendan Rodgers’ side therefore progress to Monday’s final in Miami, Florida.
The impressive Stevan Jovetic opened the scoring for City in the 36th minute, taking the ball in from the left touchline before nutmegging Olympiacos captain Avraam Papadopoulos with a shot that took goalkeeper Roberto completely by surprise.
Jovetic could have had a penalty moments before the break when Papadopoulos seemed to take out the Montenegrin as the pair competed for a Yaya Toure chip over the top.
City regained the lead through Kolarov’s 52nd minute penalty, awarded for a foul on David Silva, but Diamantakos netted his second of the night midway through the second half when he took advantage of Hart’s poor decision-making to round the England goalkeeper and score from the angle.
City then lost the penalty shootout in sudden death, after Micah Richards blazed his spot-kick over.
‘8 CHANCE for City as Clichy sets up Toure down the right, but when the Ivorian lays off the ball, Nasri hesitates and drags a left-footed shot wide.
‘18 CHANCE: Navas sets up Dzeko down the right, and the striker rolls off the defender and sets up Jovetic, but the former Fiorentina star blazes over.
‘26 SHOT: Jovetic cuts in from the left and feeds Toure, who wraps his foot round the ball from 30 yards but shoots wide.
‘32 SAVE Jovetic gets a yard of space down the left and cuts inside the box, but his shot is kept out by the feet of Roberto.
‘36 GOAL: Jovetic scores again for City in this tournament, his fifth, as he steps over the ball and then beats Papadopoulos before shooting past Roberto.
‘38 GOAL: Olympiacos reply almost immediately, as Saviola runs into the space vacated by Kolarov and cuts the ball back to Diamantakos to shoot past Hart.
‘44 Jovetic is played through the centre by Toure but Papadopoulos seems to catch the Montenegrin.
‘45+1 City break down the right and Nasri is just unable to get a boot on Dzeko's cross. Dzeko then volleys wide Navas' pass.
‘47 CHANCE: Jovetic is denied twice by red shirts after being set up by Milner, on as a half-time sub.
‘52 GOAL: Kolarov makes it Manchester City 2-1 Olympiacos from the spot, with a powerful shot into the top corner after Silva was tripped in the area.
‘66 GOAL: Hart is out too quickly and Diamantakos rounds the England goalkeeper and shoots home from a tight angle.
‘77 Milner sets up Silva but that is another good save by Roberto down low to his right.
‘83 Samaris beats the offside trap and sets up Kolovos but Boyata makes a good late tackle down the centre.
City have bought a top-quality goalkeeper in Willy Caballero from Malaga this summer. The Argentine is 32 and does not see himself as a back-up to Joe Hart. Hart was guilty of a bad mistake for Olympiacos' second goal, rushing out when it would have been more sensible to stay on his line, and being beaten easily to the ball by Dimitris Diamantakos. That error may mean Caballero gets the nod from Manuel Pellegrini in the first game of the Premier League season at Newcastle on 17 August.
MAN OF THE MATCH
Stevan Jovetic (Manchester City) The Montenegrin scored just three times in the Premier League in an injury-ravaged first season at City, but has scored five times in this tournament. His pace and reading of the game was excellent, and he linked up well with Edin Dzeko tonight.
Olympiakos: Roberto 7, Elabdellaoui 7, Masuaku 7, Manolas 7, Siovas 6, Maniatis 6, Samaris 6, Kasami 6, Dominguez 7, Saviola 7, Diamantakos 8. Subs: Ghazaryan 6, Siovas, Papadopoulos 7, Bouchalakis, Avlonitis 6, Dossevi 7.