Digital transformation is also a strategic dimension that reshapes work models and service delivery in more agile and efficient ways. Therefore this study investigates the impact of interaction between digital transformation and knowledge workers on the adoption of AI within the hospitals environment. To achieve these objectives, a conceptual model was developed and hypotheses were formulated based on the research problem. A purposive sample of 184 department and division heads from hospitals under the Medical City Directorate was selected. The study adopted a descriptive-methodology, employing advanced statistical techniques such as multiple linear regression analysis and canonical correlation analysis to test the hypotheses. The results revealed significant for both knowledge workers and digital transformation on the adoption of AI, along with a significant interaction effect between the two on AI implementation. Based on these findings, the study offered theoretical and practical implications besides direction for future research.