Brown seaweeds represent a valuable source of bioactive compounds, particularly phenolic constituents and photosynthetic pigments, which have attracted considerable attention in food science and nutraceutical development. These compounds exhibit antioxidant, anti-inflammatory, antimicrobial, and functional properties that support their incorporation into modern food systems. Despite their promising biological activities, limitations related to bioavailability, stability, extraction efficiency, and delivery mechanisms continue to restrict their full industrial utilization. This review examines the functional potential of brown seaweed phenolics and pigments, focusing on their biochemical characteristics, mechanisms of action, bioavailability challenges, and applications within food industries. A critical synthesis of available commercial products, patented technologies, extraction approaches, and delivery systems is presented. The review further discusses emerging formulation strategies designed to improve absorption and stability, including emulsion-based systems and encapsulation technologies. Findings indicate that brown seaweed-derived compounds possess significant potential as natural food ingredients, functional additives, and health-promoting agents. However, optimization of extraction, formulation, and delivery methodologies remains essential for maximizing their industrial and nutritional value.