The compact model plays a pivotal role as a critical link between device fabrication and circuit design. While conventional compact model theories and techniques are generally mature, the intricate physical mechanisms of gallium nitride (GaN) high‐electron mobility transistors (HEMTs) pose challenges due to their strong non‐linearity in high‐power radio frequency (RF) applications. This complexity hinders achieving the required precision for applications using traditional modeling methods. Therefore, the development of physics‐based compact modeling techniques becomes crucial for a deeper understanding of the intricate features of GaN HEMTs. This paper explores the advancements and the current state‐of‐the‐art in physics‐based compact models. The comprehensive review covers both intrinsic core models and real‐device effects models. Core models are presented with a focus on fundamental concepts, development overviews, and applications. Additionally, the real‐device effects models are introduced, encompassing advanced characterization techniques and modeling methodologies. Furthermore, the paper outlines future trends in physics‐based compact modeling, providing valuable insights for individuals engaged in transistor compact modeling work.