As libraries undergo digital transformation, these technologies redefine current services and create new opportunities for innovation. The research examines the primary applications of Artificial Intelligence (AI) and machine learning in libraries, including information retrieval, automation, and data analysis. This analysis examines how these technologies enhance user experiences, optimize processes, and facilitate personalized solutions. We offer insights into the digital future of libraries through the analysis of current implementations and trends. The study examines the potential advantages and obstacles of integrating AI into library systems, encompassing privacy, ethics, and the evolving responsibilities of librarians. We emphasize innovative strategies for smart library development by integrating new literature and case experiences. This study contributes to the ongoing discourse over the implementation of contemporary technologies in libraries. It offers a prospective perspective on the transformation of these institutions by AI and machine learning, along with a framework for library professionals and policymakers to create more efficient, user-focused, and innovative library services in the digital era, emphasizing the importance of ethical considerations and user-centered design in the advancement of smart libraries. This research explores the emerging concept of "smart libraries" at the intersection of machine learning and artificial intelligence.