Compact spinning has emerged as a contemporary spinning technology that has garnered significant attention due to its capacity to produce yarns with excellent properties. The strategy is a variation of conventional ring spinning that seeks to get rid of the spinning triangle while improving the uniformity, strength, and hairiness of the yarn. In compact spinning, fiber condensation is achieved by negative pressure airflow, which compresses the fibers and reduces their thickness. This results in a higher packing density of the fibers, leading to stronger and more uniform yarns. In this article, we provide a comprehensive overview of compact spinning technology, covering its principle, fiber condensation method, and the types of machines used. The quality of the yarn is greatly influenced by various systems and parameters such as lattice apron, air suction slot geometry, airflow fields, and twist mechanism employed in compact spinning. We present a compendium of the various developments established in studies on compact spinning, which could serve as a platform for developing new techniques in compact spinning for the production of high-quality yarns with low economic burdens. This review discusses compact spinning, two main systems, machines, influential parameters/peripherals, disadvantages, and the future prospects of compact spinning. Additionally, we provide a summary of previous research on compact spinning, highlighting its benefits and advantages over traditional ring spinning. Furthermore, we discuss the impact of guiding devices and lattice apron type on yarn quality. We also explore the potential of three-dimensional (3D) printing technology in enhancing the performance and design of compact spinning machines.