The aim of this paper is to provide an overview on how artificial intelligence is shaping the digital era, in policy making and governmental terms. In doing so, it discloses new opportunities and discusses its implications to be considered by policy-makers. The research uses a systematic literature review, which includes more than one technique of data analysis in order to generate comprehensiveness and rich knowledge, we use: a bibliometric analysis and a content analysis. While artificial intelligence is identified as an extension of digital transformation, the results suggest the need to deepen scientific research in the fields of public administration, governmental law and business economics, areas where digital transformation still stands out from artificial intelligence. Although bringing together public and private sectors, to collaborate in the public service delivery, presents major advantages to policy makers, evidence has also shown the existence of negative effects of such collaboration. Keywords: Digital transformation Á Digital era Á Artificial intelligence Á Political science Á Policy-makers Á Government services Á Systematic literature review Á Technological development