Prognostics and health management (PHM) technology plays a critical role in industrial production and equipment maintenance by identifying and predicting possible equipment failures and damages, thereby allowing necessary maintenance measures to be taken to enhance equipment service life and reliability while reducing production costs and downtime. In recent years, PHM technology based on artificial intelligence (AI) has made remarkable achievements in the context of the industrial IoT and big data, and it is widely used in various industries, such as railway, energy, and aviation, for condition monitoring, fault prediction, and health management. The emergence of large-scale foundation models (LSF-Models) such as ChatGPT and DALLE-E marks the entry of AI into a new era of AI-2.0 from AI-1.0, where deep models have rapidly evolved from a research paradigm of single-modal, single-task, and limited-data to a multi-modal, multi-task, massive data, and super-large model paradigm. ChatGPT represents a landmark achievement in this research paradigm, offering hope for general artificial intelligence due to its highly intelligent natural language understanding ability. However, the PHM field lacks a consensus on how to respond to this significant change in the AI field, and a systematic review and roadmap is required to elucidate future development directions. To fill this gap, this paper systematically expounds on the key components and latest developments of LSF-Models. Then, we systematically answered how to build the LSF-Model applicable to PHM tasks and outlined the challenges and future development roadmaps for this research paradigm.