Artificial intelligence (AI) refers to machines that can think and act like humans. The document discusses AI's definition, history, types, and how it works through data collection, analysis, and decision making. It also explores AI's impact on healthcare, finance, education, transportation, and customer service by improving efficiency, precision, and automation. While AI provides benefits, concerns around privacy, jobs, and bias must be addressed through regulations and responsible development. The future of AI involves continued advancement through collaboration between humans and machines.