This chapter covers the capabilities of image generation with generative AI. It outlines the basics of generative AI, its importance in image processing, and how AWS services can enhance image-based generative AI. You will discover the advantages of generative AI in image creation, including producing high-quality images, improving customer experiences, and lowering costs. You will face challenges such as maintaining image quality and determining how to overcome them. You will also need to reduce bias in your work. Scaling generation AI solutions also has its own difficulties. Additionally, you will have to address intellectual property and ethical issues. You will explore the ethical aspects of image-based generative AI, emphasizing content authenticity, misinformation, bias, representation, intellectual property, ownership, and environmental impacts. You will learn advanced techniques to enhance and tailor image generation using generative AI models. These techniques encompass image-to-image generation, image inpainting, conditioning, outpainting, and other effective methods with examples. These techniques enhance control over image creation. It provides greater creative freedom and precision. You will also learn about the importance of prompt engineering in achieving the best outcomes from large image foundation models.