AI is the match igniting digital transformation. The rapid uptake and expansion of artificial intelligence (AI) among businesses are one of the primary pressures for change that stretches further over time. The digital business model created with AI-driven technologies, which underpins tomorrow’s green innovations and operations, is discussed in this article. Employing an analytical framework integrating process-optimization, predictive analytics and life-cycle intelligence, the chapter analyzes how introducing AI helps lower environmental footprints and enhances resource productivity. We recommend a dual approach that combines sector-case synthesis and empirical modeling. Results show that AI increases transparency, reduces wastage, and makes decision processes adaptive in supply chains, manufacturing and energy. Strategic, technological as well as governance paths for AI application in sustainable business ecosystems are provided at the end of this article.