Artificial Intelligence (AI) has emerged as one of the most transformative technologies of the twenty-first century, fundamentally altering the manner in which information is created, processed, disseminated, and commercialized. The integration of AI into creative and innovative processes has generated unprecedented opportunities while simultaneously posing significant challenges to traditional legal frameworks governing intellectual property rights (IPR). Existing intellectual property regimes were developed on the assumption that intellectual creations originate from human ingenuity and labor. However, modern AI systems are increasingly capable of generating literary works, artistic content, software code, inventions, trademarks, and digital identities with minimal human intervention. The emergence of generative AI technologies such as ChatGPT, Gemini, Claude, Midjourney, DALL-E, and Stable Diffusion has intensified debates concerning authorship, ownership, originality, inventorship, and liability. These developments have exposed substantial gaps within existing intellectual property legislation across jurisdictions, including India. Courts worldwide are grappling with questions concerning the copyrightability of AI-generated works, the patentability of AI-assisted inventions, trademark misuse through automated digital platforms, and the unauthorized exploitation of personality rights through deepfakes and synthetic media. This article critically examines the intersection between intellectual property rights and artificial intelligence within the Indian legal framework. Through doctrinal and analytical research, it evaluates statutory provisions, judicial precedents, and emerging legal challenges associated with AI-generated intellectual creations. The article further explores comparative approaches adopted in the United States, the United Kingdom, and the European Union. It argues that while Indian courts have demonstrated remarkable adaptability in addressing technological disputes, comprehensive legislative reforms are necessary to ensure legal certainty, promote innovation, and protect creators in the evolving digital ecosystem.