Iron-catalyzed lipid peroxidation, a hallmark of the regulated cell death (RCD) known as ferroptosis, has gained prominence in cancer biology, and its application in anticancer treatments is gaining attention. Triggering ferroptosis may curtail the advancement of tumorigenesis, offer opportunities to boost immunotherapy outcomes, and overcome resistance to established oncological interventions. Nevertheless, the function of ferroptosis in immune modulation has not been systematically addressed, particularly in breast carcinoma. This review explores the molecular basis of ferroptosis and discusses the therapeutic implications, particularly in breast carcinoma. Moreover, the complex interrelationship between ferroptosis and immune modulation has been examined, spotlighting how ferroptotic tumor cells can impact simultaneous tumor-suppressive and tumor-promoting immune activities in the breast cancer microenvironment. Furthermore, the involvement of immune cells in regulating ferroptosis has been explored, highlighting the dual interaction dynamics between ferroptosis and immune functions. Additionally, the exploration includes the application of ferroptosis in breast carcinoma immunotherapy, proposing a promising avenue to boost therapeutic efficacy. Ultimately, grasping the bifunctional nature of ferroptosis in immune modulation unveils new perspectives for pioneering breast carcinoma therapies.