Atomic spin squeezing uses the interaction between light and neutral atomic ensembles to reduce the uncertainty of the atomic spin component, therefore reaching a sensitivity beyond the standard quantum limit in quantum precision measurement, which is expected to play an important role in the fields of time and frequency metrology, gravity precision measurement, fundamental physics tests, gravitational wave detection and dark matter exploration. This paper introduces the concept and criteria of atomic spin squeezing, and analyzes the methods for generating spin squeezed state through atom-light interaction in neutral atomic ensembles, and reviews the recent results and achievements and the application research progress of atomic spin squeezing in quantum precision measurement.