In light of the anticipated 50% increase in global energy demand by 2050, the demand for innovative, environmentally conscious, efficient, and dependable energy technologies is paramount. Solid oxide fuel cells (SOFCs) offer a promising solution for sustainable energy production. This comprehensive review provides a detailed analysis of SOFCs, covering their fundamentals, materials, performance, and diverse applications, while also addressing technological challenges and future prospects. The review emphasizes the key advantages of SOFCs, including their high efficiency of up to 60% and minimal environmental impact. It explores the significance of impurity resistance and durability in materials and manufacturing processes for SOFC components. Comparative evaluations demonstrate the superior energy efficiency and ecological effects of SOFCs compared to other fuel cell technologies. SOFCs’ versatility and potential are showcased through their applications in transportation, power generation and storage, portable devices, and residential usage. However, challenges such as cost, longevity, reliability, and integration with other energy systems are identified, emphasizing the need for supportive policies and regulations.