Artificial intelligence (AI) advancement at a rapid pace together with its rapid adoption across different fields of technology has created powerful changes to cybersecurity practices. The defensive capabilities that AI provides to defenders include anomalous activity identification together with threat forecasting and incident automation yet this technology grants robust capabilities to attackers too. AI allows attackers to automate reconnaissance activities and create polymorphic malware while also generating deepfake contents and targeting machine learning system vulnerabilities through adversarial attacks. AI technology has introduced a fundamental transformation within cybersecurity because of its dual security and attack purposes. The research investigates modern threats stemming from AI alongside strategies which include adversarial training with AI-augmented threat identification and deepfake detection protocols and standards to manage ethical AI implementation. The growing intensity of security competition between attackers and defenders demands immediate implementation of proactive governance systems with robust AI frameworks and cross-sector cooperation for protecting the digital environment of the future.