Several studies establish that AI would shape every human activity. Project management is not an exemption. This article thus examines how AI has been applied in project management, especially key areas and challenges for its application. Using a critical review of literature published between January 2020 and 2025, this article looked into how AI has shaped the project management landscape. The findings show that AI has been used in project management functions and project implementation. The findings also present three key challenges which are related to ethical and legal, technology, and users. The findings are insights for educators, researchers, and policymakers. Hence, the article contributes AI discourse in project management.