Phosphorus is a vital element in biomolecules and one of the main limiting nutrients for primary production of terrestrial ecosystems. Increasing global food demand and modern agricultural consumption of phosphate fertilizers have led to excessive inputs of phosphate to intensively managed fields, causing increased soil phosphate loss and continued eutrophication of surface waters. Phosphate solubilizing microorganisms (PSMs) are considered as eco-friendly manure that can enhance agricultural productivity and play an important role in improving soil fertility. It is crucial to increase the availability of soil phosphorus that comprehensively and in-depth comprehend the function of PSMs and their role in soil biochemical transformation of phosphorus. This paper systematically reviewed species and distribution diversity of PSMs, functional genes mainly involved in microbial phosphorus cycling process, processes of PSMs involving in soil phosphorus biogeochemical cycling, and the reaction mechanism behind these processes, to better understand the ability of PSMs and make full of them in the future.