Pressure sensors based on fiber-optic extrinsic Fabry-Perot interferometer (EFPI) have been extensively applied in various industrial and biomedical fields. In this paper, some key improvements of EFPI-based pressure sensors such as the controlled thermal bonding technique, diaphragm-based EFPI sensors, and white light interference technology have been reviewed. Recent progress on signal demodulation method and applications of EFPI-based pressure sensors has been introduced. Signal demodulation algorithms based on the cross correlation and mean square error (MSE) estimation have been proposed for retrieving the cavity length of EFPI. Absolute measurement with a resolution of 0.08 nm over large dynamic range has been carried out. For downhole monitoring, an EFPI and a fiber Bragg grating (FBG) cascade multiplexing fiber-optic sensor system has been developed, which can operate in temperature 300 ℃ with a good long-term stability and extremely low temperature cross-sensitivity. Diaphragm-based EFPI pressure sensors have been successfully used for low pressure and acoustic wave detection. Experimental results show that a sensitivity of 31 mV/Pa in the frequency range of 100 Hz to 12.7 kHz for aeroacoustic wave detection has been obtained.