Wasps boss Dai Young declared himself "proud" of his young team after their brave second-half fightback was sunk by France scrum-half Dimitri Yachvili's late penalty, which secured a 26-23 Amlin Challenge Cup quarter-final win for Biarritz.
Injury-hit Wasps started with six - and finished with eight - players aged 21 and under and Young believes they are the future of the club.
Director of rugby Young said: "At one stage we looked dead and buried but the players showed a lot of determination and a lot of guts to pull themselves back into that game. With eight minutes to go it could have gone either way."
Wasps looked down and out when they trailed 23-9 after 60 minutes, but they hit back to level the scores at 23-23 before Yachvili settled the issue with his sixth successful kick from as many attempts.
"They had that little more firepower than us and they were a bit more clinical when they had the chances," Young said.
"We were lucky to still be in the game at some stages but I was really proud of the youngsters who gave everything. They showed a lot of character."
Young is also pleased to have 20-year-old wing prospect Christian Wade, who marked his return from three months on the injured list with the try which sparked the Wasps revival, back for the run-in as his side, second from bottom of the Premiership, battle to stay above basement club Newcastle.
"He certainly gives us that bit of zip. He's a threat to any opposition defence," said the Wasps chief who was pleased his side emerged without any more serious injuries.
Winger Richard Haughton was replaced at half-time because of an Achilles injury, former Scotland full-back Hugo Southwell followed two minutes later with an arm injury and centre Ryan Davis, scorer of the second try, took a bang on the knee.
But Young expects all three to be fit for next Saturday's visit to Premiership leaders Harlequins, along with scrum-half Nic Berry, who missed the Biarritz match as he recovers from concussion.