Artificial intelligence (AI) has become a transformative force in the healthcare industry, offering unprecedented opportunities for improved diagnostics, patient treatment, and outcomes. However, its integration into healthcare systems has also brought to light a host of ethical concerns that require careful scrutiny. This chapter delves into the intricate nexus of ethics and AI in healthcare, shedding light on the multifaceted implications and challenges that arise. AI technologies such as machine learning (ML) and data analytics (DS) have immense potential to revolutionize healthcare. They can enhance diagnostic accuracy, enable the treatment of a larger number of patients, and improve patient outcomes. However, their implementation is not without ethical quandaries. These primarily revolve around data privacy, bias mitigation, transparency, responsibility, and patient independence. Transparency and interpretability are other essential aspects of the ethical discourse surrounding AI in healthcare.