Artificial Intelligence (AI) is transforming healthcare by enhancing efficiency, accuracy, and effectiveness in medical practices. This review explores AI's impact across diagnostics, personalized treatment, drug discovery, surgery, and more. AI improves disease detection, enables personalized treatment plans, and enhances surgical precision through robotics. However, challenges such as data quality, algorithmic bias, and ethical concerns must be addressed to ensure responsible AI implementation. AI is also accelerating drug discovery by optimizing predictive modeling, drug design, and clinical trials. Future trends include advancements in natural language processing, AI-enhanced telemedicine, wearable health technologies, and ethical AI governance. As AI evolves, it will play a central role in improving patient care, operational efficiency, and medical research. Collaborative efforts among technologists, clinicians, researchers, and policymakers are essential to harness AI's potential while addressing ethical and practical challenges. AI's role in healthcare is poised to revolutionize the industry, offering more precise, personalized, and effective treatments while ensuring equitable access and patient trust.Artificial Intelligence (AI) is transforming healthcare by enhancing efficiency, accuracy, and effectiveness in medical practices. This review explores AI's impact across diagnostics, personalized treatment, drug discovery, surgery, and more. AI improves disease detection, enables personalized treatment plans, and enhances surgical precision through robotics. However, challenges such as data quality, algorithmic bias, and ethical concerns must be addressed to ensure responsible AI implementation. AI is also accelerating drug discovery by optimizing predictive modeling, drug design, and clinical trials. Future trends include advancements in natural language processing, AI-enhanced telemedicine, wearable health technologies, and ethical AI governance. As AI evolves, it will play a central role in improving patient care, operational efficiency, and medical research. Collaborative efforts among technologists, clinicians, researchers, and policymakers are essential to harness AI's potential while addressing ethical and practical challenges. AI's role in healthcare is poised to revolutionize the industry, offering more precise, personalized, and effective treatments while ensuring equitable access and patient trust.