Club Universidad de Chile was founded on 24 May 1927 in Santiago, Chile, formed through the merger of Internado FC and Club Universitario de Deportes. In its early decades the club was closely tied to the Universidad de Chile, drawing its players and identity from the university community.
The club's most celebrated era came in the 1960s, when sides nicknamed the "Blue Ballet" claimed six Primera División titles between 1959 and 1969, playing a style of football admired across South America. Nine members of that squad represented Chile at the 1962 FIFA World Cup, where the national team finished third — still the country's best-ever World Cup result.
A turbulent period followed the club's forced separation from the university under the Pinochet dictatorship in 1980, which stripped it of institutional support. Declining results led to relegation to the second division in 1988, though promotion was regained just one year later. A bankruptcy in 2006 led to the club being placed under the concession of private group Azul Azul from 2007 onward.
On the continental stage, Universidad de Chile reached the Copa Libertadores semi-finals four times (1970, 1996, 2010, 2012) and claimed their greatest international honour in 2011, going through the Copa Sudamericana undefeated to defeat Liga de Quito 4–0 on aggregate in the final. That same year they won both the Apertura and Clausura, and were later named the most successful Chilean club of the entire 2010s decade.
The club's fiercest rivalry is the Superclásico against Colo-Colo, with an additional derby against Universidad Católica known as the Clásico Universitario. They play home matches at the Estadio Nacional in Santiago, wearing their iconic royal blue.