Complex sentence: The title holders, Brazil, failed to qualify despite being the current champions and having held the FIFA Confederations Cup since 2005, following their loss to Paraguay in the 2015 Copa América.
Split into simpler sentences: The title holders, Brazil, have not qualified for this tournament despite being the current champions and having held the FIFA Confederations Cup since 2005. Brazil failed to qualify due to their loss to Paraguay in the 2015 Copa América.