The new World Rugby standings, which reflected the outcomes from the matches across the weekend of international rugby, have seen the All Blacks drop to their lowest ever position of fourth in the rankings.
Ireland, who made history in Dunedin by beating the All Blacks on Kiwi soil for the first time, have rocketed up to second place behind France.
Andy Farrell's men would have taken top position if not for Will Jordan's late try for the All Blacks to cut the scoreline to 11 points. Ireland would have needed a 16-point victory to secure the No 1 spot.
After beating Japan 20-15, France are top of the rankings for the first time in their history, displacing South Africa who drop to third.
It is also the first time since the rankings were introduced in October 2003 that two Northern Hemisphere teams hold the top two spots.
England's 25-17 victory over Australia saw Eddie Jones' men leapfrog the Wallabies into fifth.
Scotland did the same to Argentina after their 29-6 win in Salta to move to seventh ahead of Wales, with the Pumas dropping to ninth.
All Blacks coach Ian Foster said the top teams in the world were closer than ever.
"It was a northern hemisphere weekend so while there's a bit of doom and gloom in our camp, it's actually great for world rugby and it sets up next weekend really well," he said.
"It's kind of what everyone wanted, except we didn't want it. There's some strong teams out there. We hate losing and it hurts like hell. We still want to be number one."
Top 10 teams in World Rugby's rankings
1. France (89.41 - up from third)
2. Ireland (88.79 - up from fourth)
3. South Africa (88.61 - down from first)
4. New Zealand (88.17 - down from second)
5. England (85.14 - up from sixth)
6. Australia (83.28 - down from fifth)
7. Scotland (82.99 - up from eighth)
8. Wales (81.28 - up from ninth)
9. Argentina (79.39 - down from seventh)
10. Japan (77.74 - maintained position)
