The rise of AI is reshaping many domains of society, including education. This chapter begins with an overview of policy developments behind the government-led introduction of AI-powered digital textbooks in South Korea. It then expands the discussion to twenty-first century competencies, with a particular focus on creativity. The chapter critically examines some naïve assumptions that undergird the advocacy for educational AI tools, emphasizing the importance of maintaining a balanced understanding of both their promises and risks. The debate over AI in education often reduces the education reform agenda to a purely technological matter; however, technologies like AI are tools, while twenty-first century competencies remain the goals. While AI and other emerging technologies can support the development of these competencies, their use in education does not constitute educational innovation on its own; rather, it is a step toward achieving it. This chapter underscores the importance of avoiding uncritical reliance on AI-powered educational tools in order to foster genuine and equitable progress in education.