The Australian Christmas was a major content update for Team Fortress 2 and It was the first in what would later become the annual Smissmas event.

A new game mode, Medieval Mode, was introduced with this update. It featured a new map, DeGroot Keep.

The update also increased default backpack slots from 200 to 300, and added the ability to acquire additional slots (100 at a time) by purchasing the Backpack Expander item. The maximum backpack size became 1000 slots.

As part of the event, the Festive Winter Crate was added. These were unlockable with a Festive Winter Crate Key, that was only available as a purchase from the Mann Co. Store for $2.49 / £1.99 / €2.49.

This update also introduced the Itemtest map for the first time.