This article reviews the current knowledge and status of investigations on the variable magnetic activity of cool stars. We discuss the Sun in the context of solar‐type stars, highlighting peculiarities and common features in terms of its magnetic activity and variability over different time scales. We examine how both theory and observations are providing new clues about the main physical processes that generate magnetic fields in the interior of cool stars, as well as about those that lead to evolving stellar surface magnetism and varying chromospheric and coronal phenomena. We then proceed to discuss the relations between stellar age, rotation, and activity throughout the evolution of cool stars. Finally, we touch upon the importance of understanding stellar magnetism also in view of its effect on planetary environments.