The world will go through a huge energy crisis shortly. Because the reserve of the conventional energy sources is almost finished. As a result, energy transition has become one of the trendy topics. Fuel cell technology has become one of the most promising technologies in this field which uses the chemical energy and converts it into the electrical energy by a pair of redox reactions. But there are a lot of engineering and economical challenges associated with this technology which need to be overcome to establish it as a competitor in the real market. In this context, researchers are doing research to advance this technology to such a level where it will compete with conventional technologies and strengthen its base in the market. In this chapter, the cutting-edge advancement in new materials development, fuel cell design improvements, efficiency enhancements, and diversified applications such as transportation, stationary power generation, portable power device, etc. will be discussed. Additionally, some current challenges such as cost, durability, infrastructure, etc. will be identified and discussed. Lastly, it will explore future directions and research areas that could further advance fuel cell technology.