Purpose: Knowledge acquisition is a pivotal concern for the students and many sources help them to obtain knowledge. In this paper, the authors theoretically examine three engagements such as social media, peer and academic engagement by the theoretical foundation of engagement theory which tells that students interact and collaborate, sharing information for the acquisition of knowledge that enhances their academic performance. But due to the abundance of information, knowledge and resources available to students for the acquisition of knowledge, it becomes difficult for them to comprehend the most relevant information. In this vein, this study examined the impact of information overload on the relationship between social media, peer and academic engagement and knowledge acquisition of students. Design/methodology/approach: The proposed model and structural relationships were validated using the structural equation modeling (SEM) technique through AMOS, version 24.0. To empirically test the hypothesized model, data are collected from the universities of the Sahiwal region (Sahiwal, Okara, Pakpattan) using structured questionnaires. Findings: The findings revealed that social media engagement and academic engagement are positively associated with knowledge acquisition, whereas peer engagement is negatively associated with knowledge acquisition. Moreover, the results of the study further suggested that information overload dampens the positive relationship between social media, peer and academic engagement and knowledge acquisition, which causes negative consequences on students' knowledge acquisition and learning outcomes. Research limitations/implications: Researchers can use this study as the literature as many of the previous studies focused on the positive side of social networking sites and technologies for knowledge purposes, but this study extends the research and focused on the other side of the picture which has been ignored earlier by researchers. The authors theoretically explained the adverse effects of information overload on students' academic progress caused by social media and the abundance of irrelevant information these advanced technologies offer daily. The current research focused on identifying the critical role of social media, peer and academic institutions providing a lot of information to students which caused stress, anxiety and other psychological issues in them. So, this study adds to the literature by highlighting the adverse effects of unnecessary information provided by multiple resources to students. Practical implications: Educationalists can adopt this study as a tool in academic institutions for promoting learning and to actively engage students in collaborative learning activities. As the findings of the study confirm that information overload is caused by the imbalanced use of information technology (IT) and social media sites, so teachers can help students in developing creativity and maintaining the balance between using technology and innovation in their studies pattern. Universities and institutions can play a vital role by exploring further opportunities for students and by making such policies that can help students in their learning progress. For this purpose, the authors developed a model based on the literature and theories that could change the academic system of Pakistan and enhance students' practical knowledge by motivating students in taking part in learning activities by making the higher education system of Pakistan more engaging. Social implications: The authors are presenting simulation games-based learning as an alternate approach to learning and teaching that can positively influence students' engagement with learning activities in Pakistan. By adopting this model, the education system of Pakistan could improve as it can lead to better academic performance of students, which ultimately leads to a better education system. Thus, games if correctly designed and implemented in the education system of Pakistan, it can make a great difference in students' value of learning experience. The enjoyment, interactive and realistic nature of the simulation games appears to produce this value, and students tend to engage more toward these types of games rather than traditional learning methods. Simulation games provide students with an opportunity to engage in both hard (financial management, strategy making, decision-making) and soft skills (negotiation, collaboration) in business by challenging their thinking and decision-making power in a safe learning environment. Originality/value: The phenomena of overload have become increasingly viable due to abundance of resources providing unnecessary information to students as they can get information from peers, teachers, social media platforms, blogs, wikis and many other platforms, which ultimately exhaust their capacity and leading them toward poor academic performance and other negative consequences (Yu, 2019; Bosch, 2016). This study focuses on students of higher education in Pakistan (Sahiwal region) and discusses the major challenges and opportunities that they had to face with the advancement of technology and the current social state of the knowledge in society.