Artificial Intelligence (AI) has emerged as a powerful technological innovation that is reshaping Library and Information Science (LIS). By introducing automation and intelligent decision-making, AI supports libraries in improving information retrieval, organizing digital collections, and delivering user-focused services. Technologies such as Machine Learning (ML), Natural Language Processing (NLP), virtual assistants, recommendation engines, Optical Character Recognition (OCR), robotics, and predictive analytics are helping libraries shift towards smart and technology-driven knowledge environments. This paper provides a conceptual and analytical overview of major AI technologies currently being adopted in libraries and highlights their practical applications in cataloging, classification, digital preservation, reference services, and management planning. Additionally, the study discusses major barriers including privacy risks, algorithmic bias, copyright issues, shortage of trained manpower, and financial limitations. The study concludes that although AI increases efficiency and service quality in libraries, its successful implementation depends on proper infrastructure, librarian skill development, ethical guidelines, and effective data governance.