Use of artificial intelligence (AI) is essential in day-to-day life. Perception of artificial intelligence among medical students is enormous since it entails less time consumption as necessary in the healthcare environment. The objective of the study was to assess the perception of artificial intelligence in education and healthcare among medical university students. A convenience sampling technique was used to select the samples; 510 students fulfilling inclusion criteria were selected. Data related to age, gender etc. of the students pursuing universities pursuing the degree were collected under demographic variables. A total of 10 questions to assess the students perception on AI in education were used with a 5-point Likert scale. Results showed that the tool mostly used in the study population is ChatGPT, with a frequency of 269 and a percentage of 52.85. It is the most frequently used tool among AI tools, primarily for writing assignments (24.0%), followed by combinations including project work (10.0%), content development (8.0%), grammar check (5.0%), and mathematical workouts (3.0%), with smaller percentages for other specific purposes like digital marketing and personal use. The study of 510 students shows varying perceptions of AI in education, including strong agreement that AI improves writing performance (27.6%), minimises time spent on creative writing (24.6%), as well as develops positive attitudes towards its use (28.1%) and accessibility (21.2%), with a range of opinions on flexibility, liking for AI-based learning tools and motivation to learn them. Artificial Intelligence in medical study enhances education through interactive simulations tailored to individual learning styles and paces, facilitates comprehensive data analysis for research and provides personalised feedback on student performance.