Ceftaroline fosamil is a new fifth-generation cephalosporin indicated for the treatment of community-acquired bacterial pneumonia (CABP). It possesses antimicrobial effects against both Gram-positive and Gram-negative bacteria, including methicillin-resistant Staphylococcus aureus (MRSA), but not against anaerobes. Organisms covered by this novel agent that are commonly associated with CABP are Streptococcus pneumoniae, Staphylococcus aureus, Haemophilus influenzae, Moraxella catarrhalis, and Klebsiella pneumoniae; however, ceftaroline fosamil lacks antimicrobial activity against Pseudomonas and Acinetobacter species. FOCUS 1 and FOCUS 2 clinical trials evaluated the use of ceftaroline fosamil in the treatment of CABP as compared to ceftriaxone. These non-inferiority trials provided evidence that ceftaroline fosamil is as effective and safe as ceftriaxone in the treatment of CABP. As its role in the treatment has not been well established, ceftaroline fosamil should be reserved for patients at high risk for multidrug-resistant organisms (MDROs). This review summarizes ceftaroline fosamil's pharmacokinetic and pharmacodynamic profile, clinical efficacy and safety, and place in therapy for the treatment and management of CABP.