Freshwater scarcity is a global challenge posing threats to the lives and daily activities of humankind such that two‐thirds of the global population currently experience water shortages. Atmospheric water, irrespective of geographical location, is considered as an alternative water source. Sorption‐based atmospheric water harvesting (SAWH) has recently emerged as an efficient strategy for decentralized water production. SAWH thus opens up a self‐sustaining source of freshwater that can potentially support the global population for various applications. In this review, the state‐of‐the‐art of SAWH, considering its operation principle, thermodynamic analysis, energy assessment, materials, components, different designs, productivity improvement, scale‐up, and application for drinking water, is first extensively explored. Thereafter, the practical integration and potential application of SAWH, beyond drinking water, for wide range of utilities in agriculture, fuel/electricity production, thermal management in building services, electronic devices, and textile are comprehensively discussed. The various strategies to reduce human reliance on natural water resources by integrating SAWH into existing technologies, particularly in underdeveloped countries, in order to satisfy the interconnected needs for food, energy, and water are also examined. This study further highlights the urgent need and future research directions to intensify the design and development of hybrid‐SAWH systems for sustainability and diverse applications.