The field of Artificial Intelligence in Education (AIED) will change the shape of education in the future completely, current classroom environment management, collaboration with teachers, and development of AI-based technology platforms. The intelligent adaptive transformation of learning and teaching in higher education required the emergence of all educational process structures. This paper presents a revolutionary educational process called AI-based learning, Which involves technologies within universities, cultures, practices, goals, and communities. This transformation reduces the gap between higher education’s outcome and industry’s needs, by producing lifelong learners. The proposed framework illustrates the full structure, the development steps, and the implementation benefits. The proposed framework also provides connections of scattered scientific research work in different related domains.  Using AI competency-based learning will let students achieve the course outcomes easier and faster and increase student engagement by solving real-life industrial problems in different application domains. The paper also presents implementations phases, benefits and provides a comparison after applying the framework.

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