The widespread adoption of wireless communication technology, especially with the introduction of artificial intelligence and the Internet of Things, has greatly improved our quality of life. However, this progress has led to increased electromagnetic (EM) interference and pollution issues. The development of advanced microwave absorbing materials (MAMs) is one of the most feasible solutions to solve these problems, and has therefore received widespread attention. However, MAMs still face many limitations in practical applications and are not yet widely used. This paper presents a comprehensive review of the current status and future prospects of MAMs, and identifies the various challenges from practical application scenarios. Furthermore, strategies and principles for the construction of multifunctional MAMs are discussed in order to address the possible problems that are faced. This article also presents the potential applications of MAMs in other fields including environmental science, energy conversion, and medicine. Finally, an analysis of the potential outcomes and future challenges of multifunctional MAMs are presented.