Light-matter interaction lies at the heart of photonics/optical material science. As the research emphasis in recent years shifted from microscale towards nanoscale, light-matter interaction within extreme dimensions raised new challenges as well as opportunities. However, due to the diffraction limit of conventional optics, coupling and confinement of light into deepsubwavelength volume is usually very challenging, resulting in difficulties in exploring the lightmatter interaction within ultra-thin and ultra-small dimensions. Based on recent advances in theoretical modeling, nanomanufacturing and experimental validation efforts, unique features have been recognized. Here we summarize recent key progresses of light-matter interaction within extreme dimensions and discuss future directions based on new combinations of materials, structures, nanomanufacturing and applications, ranging from quantum plasmonics, nonlinear optics to optical biosensing.