The article first introduces the application prospects of quantum‐dot light‐emitting diodes (QLEDs) in display market by showing some prototype products. Then, it presents the fundamentals and background of colloidal quantum dots (CQDs), the key materials in QLEDs. The concept of quantum confinement effect is introduced. Based on the understanding of quantum confinement effects, the article further explains the band structures of CQDs and their size‐dependent luminescent properties. The history of developing high‐quality CQDs and the core/shell structures of CQDs are also summarized. Then the fundamentals of QLEDs including the device structures and working mechanisms are introduced. The evolution of the device architectures of QLEDs is presented. The explanations on the working mechanisms and device physics are especially focused on how the charge transport layers affect the physical processes, such as charge injection, exciton quenching, and injection balance in QLEDs. The main loss mechanisms in QLEDs understood by the scientific community so far are elaborated, which include Auger recombination, Förster resonance energy transfer, and field‐induced quenching. Finally, the article is concluded with the summary of most urgent challenges in commercialization of QLED‐based display. Some other promising applications based on QLEDs are also mentioned.