This article provides a comprehensive review of how Artificial Intelligence (AI) is transforming education, focusing on its impact on learning outcomes, teaching methodologies, and the overall educational ecosystem. AI-powered adaptive learning systems analyze student performance data to create customized learning paths, improving student engagement and academic performance. AI is also reshaping teaching methodologies by providing educators with tools to streamline administrative tasks and enhance instructional strategies, such as automating grading and creating interactive lessons. Additionally, AI is revolutionizing assessment processes, moving beyond traditional exams to more dynamic and insightful evaluation methods. The integration of AI in education extends to administrative functions, such as student enrollment, scheduling, and resource allocation, leading to more efficient and effective management of educational institutions. Despite the numerous benefits, challenges such as data privacy, algorithmic bias, and the need for teacher training remain. Addressing these challenges will be crucial to maximizing the potential of AI in education and ensuring equitable access to quality education for all. As AI continues to evolve, its impact on education is expected to grow, offering new opportunities to improve learning outcomes and prepare students for success in the digital age.This article provides a comprehensive review of how Artificial Intelligence (AI) is transforming education, focusing on its impact on learning outcomes, teaching methodologies, and the overall educational ecosystem. AI-powered adaptive learning systems analyze student performance data to create customized learning paths, improving student engagement and academic performance. AI is also reshaping teaching methodologies by providing educators with tools to streamline administrative tasks and enhance instructional strategies, such as automating grading and creating interactive lessons. Additionally, AI is revolutionizing assessment processes, moving beyond traditional exams to more dynamic and insightful evaluation methods. The integration of AI in education extends to administrative functions, such as student enrollment, scheduling, and resource allocation, leading to more efficient and effective management of educational institutions. Despite the numerous benefits, challenges such as data privacy, algorithmic bias, and the need for teacher training remain. Addressing these challenges will be crucial to maximizing the potential of AI in education and ensuring equitable access to quality education for all. As AI continues to evolve, its impact on education is expected to grow, offering new opportunities to improve learning outcomes and prepare students for success in the digital age.