Neo baits Smith into assimilating him, which allows Neo to destroy all the Smith clones from the inside, the same way he defeated Smith in the first movie. The Neo-Smith and the clones burst into light that ripples through the Matrix. After the energy burst, the Oracle's body is shown lying in the crater. In the real world, the Sentinels withdraw from Zion. Neo has sacrificed his life to save the Machines and the humans. The Deus Ex Machina says, "It is done", and Neo's body is carried away by the Machines.
The Matrix "reboots", repairing the damage caused by Neo and Smith's battle. Niobe and Morpheus embrace, with Morpheus's last line being, "Is this real?" The Architect and the Oracle meet, agreeing that the peace will last "as long as it can" and all the humans who wish to be free from the Matrix will be allowed to leave. Sati, who has created a colorful dawn sky to honor Neo, asks the Oracle whether they will ever see him again. She replies that she thinks they will. Seraph asks the Oracle if she knew this would happen, and she replies that she did not know, but she believed.