Schizophrenia is a chronic and severe psychiatric disorder that affects all aspects of patients’ lives. Over the past decades, research applying methods from psychology and neuroscience has increasingly been zooming in on specific information processing abnormalities in schizophrenia. Impaired activation of and connectivity between frontotemporal, frontoparietal, and frontostriatal brain networks subserving cognitive functioning and integration of cognition and emotion has been consistently reported. Major issues in schizophrenia research concern the cognitive and neural basis of hallucinations, abnormalities in cognitive-emotional processing, social cognition (including theory of mind), poor awareness of illness, and apathy. Recent findings from cognitive neuroscience studies in these areas are discussed. The findings may have implications for treatment, for example, noninvasive neurostimulation of specific brain areas. Ultimately, a better understanding of the cognitive neuroscience of schizophrenia will pave the way for the development of effective treatment strategies.