Cloud computing provides a paradigm for delivering scalable and on-demand IT services over the internet, enabling organizations to leverage computational resources, storage and software applications without substantial infrastructure investments. However, security remains a primary concern hindering broader adoption. This paper examines the evolving security landscape of cloud computing, with a particular focus on the integration of Artificial Intelligence (AI). It explores the dual nature of AI, which enhances defensive capabilities while simultaneously providing sophisticated tools for attackers. The paper identifies and analyzes prevalent security threats and challenges in contemporary cloud environments, exacerbated by AI’s growing role. Furthermore, it discusses strategies and best practices for maintaining the confidentiality, integrity, availability and privacy of cloud services, especially when sensitive information is managed by third-party providers. Key security incidents involving AI and cloud platforms are analyzed to illustrate current risks. The discussion aims to provide a comprehensive overview of threats, concerns and practical mitigation steps organizations can implement to protect their cloud resources effectively.