Energy storage plays an important role in the adoption of renewable energy to help solve climate change problems. Lithium-ion batteries (LIBs) are an excellent solution for energy storage due to their properties. In order to ensure the safety and efficient operation of LIB systems, battery management systems (BMSs) are required. The current design and functionality of BMSs suffer from a few critical drawbacks including low computational capability and limited data storage. Recently, there has been some effort in researching and developing smart BMSs utilizing the cloud platform. A cloud-based BMS would be able to solve the problems of computational capability and data storage in the current BMSs. It would also lead to more accurate and reliable battery algorithms and allow the development of other complex BMS functions. This study reviews the concept and design of cloud-based smart BMSs and provides some perspectives on their functionality and usability as well as their benefits for future battery applications. The potential division between the local and cloud functions of smart BMSs is also discussed. Cloud-based smart BMSs are expected to improve the reliability and overall performance of LIB systems, contributing to the mass adoption of renewable energy.