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The rapid advancement of technology has rapidly transformed human being into the reliance of using Artificial Intelligence (AI) as it assists the users dealing with their work easily. However, amidsts its benefit, ethical issue is one of the major problem when using AI. Therefore, this study attempted to investigate the understanding and engagement of university students within their language classrooms, focusing on institutions in Lombok. A quantitative research design using survey study was employed, utilizing purposive sampling to select respondents from English Education programs. The data was collected through a structured questionnaire to explore the EFL students’ understanding and engagement with the ethical implications of artificial intelligence within their classrooms. The findings show that most of the EFL students moderately comprehend and engage with the ethics of AI. Furthermore, the results show important patterns and variations in EFL students' perceptions of the incorporation of AI and ethics into their courses. Although most students understand the significance of these components, there are differences in their awareness and readiness to address ethical concerns surrounding AI. According to the research's findings, educational institutions should prioritize ethical AI training in order to equip students for the complexity of today's technological environment. According to the study, in order to better prepare students to handle the moral dilemmas posed by the quick development of technology, EFL programs should include thorough modules on ethics and AI, foster interdisciplinary cooperation, and encourage active learning techniques.