Over the years, exopolysaccharides (EPSs) have been utilized in various areas of research, including health, industry, environment, and agriculture, due to their flexible physical, chemical and structural properties that can be readily modified to suit desired purposes. Current research trends have shown that EPS production is dependent on numerous factors which can be combined to varying extent to optimize production yields. Although the majority of research is directed towards their industrial and medicinal uses, these chemical substances possess peculiar characteristics which are also exploited for biomedical research, where they are being used as drug delivery systems, some of which include their abundance in nature, biocompatibility, biodegradability, non-toxicity, and ability to efficiently encapsulate sensitive bioactive agents. However, despite the numerous beneficial prospects of microbial EPSs in drug delivery, there are limitations to the commercial production and industrial applications of these biopolymers. These limitations have inspired revolutionary research into the cost-effective production of safe EPSs polymers. In this review, we classify EPSs and discuss their methods of extraction and characterization. We also summarized current drug delivery applications and discussed limitations to extensive industrial commercialization of EPSs, while highlighting prospects for the utilization of microbial EPSs and implications for research.