Technology is profoundly transforming our everyday lives. Artificial intelligence is about the development of machine that mimics human intelligence, which can learn from experiences and make rational decisions. Big data is data, which is exploded from internet in high volume, velocity and in variety. The large data repositories containing past and present data are the basis of predictive analytics and AI. Thus, the blending of education with ICT has shifted the education system from traditional classroom teacher centric to flexible anywhere anytime (24x7) learner centric model. AI is the best way to effectively address students and enables organization to discover their capabilities in different aspects. Today robots are accomplishing array of simple and complex tasks in various organizations. This article will give overview of AI along with its role in the field of higher education, focusing on the enhancement of human capabilities, empowering staff and interactive learning. The application of AI in higher education institution in this complex and competitive environment is associated with many contemporary challenges like high cost, lack of expert personnel, weak soft skills, lack of social skill, ethical behavior and sentiments, technical disorder, workforce displacement etc. Therefore, machines are not yet ready to replace human but are contributing a lot in enhancing human capabilities. So, to avoid the complete replacement of human by machine, teachers has to develop high order thinking, creativity, metacognition and human skill among students which machine can’t learn. In this way, we can create balance between the hard skills and soft skills.
big data, artificial intelligence, interactive learning, workforce displacement, teacher and students