An automatic solar tracking system is an approach for optimizing the generation of solar power and modifying the angles and direction of a solar panel by considering changes in the position and path of the sun. The performance status of an automatic solar tracking system depends on various factors, including its design, location, and maintenance or repairs. The solar energy from the sun that the Earth intercepts is approximately 1.8 × 1011 MW, which is thousands of times greater than the intensity at which the Earth now uses all other commercially available energy sources combined. Currently, research into automatic solar trackers is on the rise, as solar energy is abundant in nature, but its use in a highly efficient way is still lacking. This paper provides a detailed literature review and highlights some key advancements and challenges associated with state-of-the-art automatic solar tracking systems. The performance of the dual-axis photovoltaic tracking system outperforms that of the stationary systems by more than 27% based on the overall system efficiency. Under diverse weather conditions, the efficiency of the scheduled-based solar tracking systems was enhanced by 4.2% compared with that of the light-dependent resistor-based solar trackers.