As a hot issues in the field of information display technology, the current development of near-eye display equipment bears people's good vision for future information interaction. Meanwhile, people's demand for augmented reality display is also constantly improving, and augmented reality display in near-eye display has undoubtedly become a research hotspot in recent years. And with the continuous development of display technology, highly miniaturization and integration have become an important development trend in near-eye display. Micro Light-Emitting Diode (Micro-LED) display technology has great advantages over other technologies in brightness, resolution, contrast, energy consumption, service life, response speed, and stability, which is considered as an ideal light source in near-eye display equipment. This paper analyzes the research progress of Micro-LED from the aspects of structure, fabrication process, and challenges. The development of near-eye display is reviewed based on the visual characteristics of human eyes. Then, the advantages of Micro-LED in near-eye display are summarized, and the advancement and realizability of various technologies are illustrated. Finally, the future development of Micro-LED is prospected.