Abstract: As an attractive grid-scale energy storage technique, advanced adiabatic compressed air energy storage（AA-CAES） is capable of superior ancillary service and multi-carrier energy generation and storage, which could benefit the renewable energy accommodation. Target to the applications in smart grid and integrated energy system, this paper exploited the dynamic characteristic of the AA-CAES facility and overviewed corresponding modeling, efficiency improvement measures, operation, and planning, as well as the market participation. Besides, the future research directions were depicted along with pointing out the drawbacks of current research. Hopefully, this study could help pave the way to the further applications of AA-CAES technique both in smart grid and integrated energy system, and spark the popularization of AA-CAES technique.