In the last few years, we have witnessed a surge in scholarly interest and scientific evidence of how algorithms can produce discriminatory outcomes, especially with regard to gender and race. However, the analysis of fairness and bias in AI, important for the debate of AI for social good, has paid insufficient attention to the category of age and older people. Ageing populations have been largely neglected during the turn to digitality and AI. In this article, the concept of AI ageism is presented to make a theoretical contribution to how the understanding of inclusion and exclusion within the field of AI can be expanded to include the category of age. AI ageism can be defined as practices and ideologies operating within the field of AI, which exclude, discriminate, or neglect the interests, experiences, and needs of older population and can be manifested in five interconnected forms: (1) age biases in algorithms and datasets (technical level), (2) age stereotypes, prejudices and ideologies of actors in AI (individual level), (3) invisibility of old age in discourses on AI (discourse level), (4) discriminatory effects of use of AI technology on different age groups (group level), (5) exclusion as users of AI technology, services and products (user level). Additionally, the paper provides empirical illustrations of the way ageism operates in these five forms.