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Habsburg Spain rose to power in the 16th century under Charles I and Philip II, controlling vast territories in Europe and the Americas. Its dominance was fueled by New World wealth and military successes. However, costly wars, economic mismanagement, and internal revolts weakened the empire. The Thirty Years' War and the defeat of the Spanish Armada further eroded its strength. By the late 17th century, political fragmentation and declining influence marked Spain's fall from great power status.