Authors - Edidiong Akpabio, Supriya Narad Abstract - This review aims to understand the integration of two emerging technologies: artificial intelligence and the Internet of Things. IoT is defined as the capability of implementing connections between regular items and industrial apparatuses that can liaise in real-time, exchanging and analyzing data. AI is an ideal companion to IoT in the sense that it brings decision-making into the equation and boosts the effectiveness and functions of IoT systems. This paper aims to review the use of AI and IoT in various fields, namely, smart cities, health, farming, and transport. In smart cities, IoT and AI applications are also applied to enhance traffic, energy consumption systems, and urban design. It has changed the way that the healthcare industry operates through better methods of patient monitoring, performance analysis, and telehealth. In agriculture, IoT sensors help monitor the effectiveness of crop management and the use of AI-based automation. It also covers the implementation of AI and IoT in autonomous vehicles, particularly the use of sensors for data processing, decision-making, and real-time data communication. However, the use of AI and IoT has some limitations, such as data limitations, security and privacy, and environmental impact. Indeed, the paper dwells upon these issues and provides the outlook for further research regarding edge AI, IoT sustainability, and the further evolution of the connections. With technological progress still in the process of evolving AI and IoT, future advancements hold more potential in terms of creating better connected, efficient, and sustainable solutions, not to mention the fact that AI is capable of solving existing challenges.