Article published on the 2008-04-11 Latest update 2008-04-15 08:45 TU
Berlusconi, who was Italy's high-profile prime minister in the 1990s, took advantage of voter discontent with the left-wing coalition led by Romano Prodi and took control of both the Senate and the lower house of parliament.
Though results weren't yet official, Veltroni conceded defeat.
"As is the custom in all Western democracies, I telephoned Berlusconi to acknowledge his victory and wish him good luck in his work," he said at his campaign headquarters.
Veltroni's centre-left Democratic Party will, however, become Italy's largest single party - winning almost one in three votes - but not enough to defeat Berlusconi's centre-right coalition between the People of Freedom Party and the North League.
Since World War II, Italy has had more than 60 governments. A complex electoral system and an abundance of parties means that results are difficult to predict and large parties are often forced to form alliances with smaller ones.
Berlusconi's terms in the 1990s were among the longest-serving governments in Italian history.
Listen to reports on Italy's election
2008-04-12
2008-04-11 by Jan van der Made