Berry has suffered from a number of concussions in recent seasons and though cleared and fully fit to start this season, he was forced off in the opening game for Wasps against Harlequins with another concussive episode.
Having sought specialist advice since, 28-year-old Berry, who has made 45 appearances in just over two seasons at London Wasps, has been forced into early retirement.
"It is with great sadness that I have been forced to retire from the game that I love," he said. "As players we understand that injury forced retirements are a reality of the sport, but it's still hard to believe that I've played my last game.
"Rugby has been a huge part of my life up until this point and I have been fortunate to play for some incredibly proud clubs.
"I wholeheartedly believe that with the coaches and playing squad Wasps currently have, the club is capable of achieving some great things.
"I would like to thank all the supporters, players and staff, in particular Dai Young and Doug Jones for all the support they given my family and I throughout my time here at Wasps."
Berry joined Wasps in 2010 from Racing Metro, having spent three seasons in the French Top 14.
Prior to that, he represented Australia at U21 level and had three seasons with the Queensland Reds.
He signed a new contract extension last season at London Wasps, and Director of Rugby Dai Young expressed his disappointment on Berry's behalf.
"It's very sad news for everyone at the Club that someone as talented as Nic has been forced to retire in his 20s," he said.
"He has been a fantastic player for Wasps over the past few seasons, but more importantly he's a fantastic person to have in your squad, someone who always works incredibly hard to get the best out of himself and those around him.
"We'll do everything we can to support him through this transition."
Dr Tim Anstiss, the Rugby Players Association's independent medical adviser echoed Young's sentiments.
"It is always incredibly disappointing for a player to be forced to retire far sooner than they had planned.
"Concussions are to be taken seriously and the RPA is working closely with the RFU, Premiership Rugby and the IRB to fully understand this area and to ensure the sport is doing all it can to prevent concussions, assess them properly and provide proper care for athletes experiencing them.
"Recent rule changes will enable better assessment during a match, and a clear return to play protocol exists to protect players.
"Any player concerned about this issue is encouraged to talk with the RPA in confidence. The RPA Player Development Managers will work closely with Nic and Wasps to make his and his family's transition to life after rugby as smooth as possible."
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