This systematic review explores the implementation of AI-powered chatbots in the travel, tourism, and hospitality sectors, emphasizing their role in enhancing e-tourism and smart tourism strategies. It synthesizes key literature, highlighting the benefits of chatbots, such as improved efficiency and responsiveness in online customer service, while addressing challenges like managing complex queries and ensuring data privacy. The review examines various machine learning approaches, including natural language processing, sentiment analysis, and recommendation systems, which enhance chatbot functionalities. Despite their potential, chatbots face issues like handling complex queries and inherent biases in data. Continuous advancements in machine learning algorithms are crucial for further customization and improved customer experiences. The review concludes that while chatbots may not entirely replace human agents, their integration into the tourism industry holds significant potential for improving e-tourism processes and increasing customer satisfaction.