Today's world is changing rapidly because of technological developments. Among the astonishing evolution, AIoT has become a new addition to machinery growth. This term is a compound of another two dominant infrastructures: Artificial Intelligence (AI) and the Internet of Things (IoT). AIoT intends to invent more efficient and improved IoT operations or services with enhanced data management and analysis capabilities. AI deals with machines, especially computer systems fields like natural language processing, speech recognition, etc. IoT is a system where interrelated devices and machines communicate and transfer data with different sensors without human intervention. AIoT can be more beneficial for both types of technology, where a vast amount of data obtained from IoT devices, will be handled by some powerful AI algorithms. When it needs to handle a lot of data, essential and efficient data processing is required to use the information gathered from IoT devices. Without integrating AI, IoT devices can't aid efficient services. Besides, AIoT is utilized to handle efficiency, scalability, accuracy, and fraud detection in transactions. This paper aims to show the potentiality of AIoT, its recent applications and benefits, and the probable future of this technology. © 2024 IEEE.