The rapid development of artificial intelligence (AI) and sustainable technology has profoundly transformed educational systems worldwide. However, the integration of AI in education often prioritizes efficiency and innovation while neglecting ethical, humanistic, and social dimensions. This article examines the integration of AI-based sustainable technology in Pancasila Education as a normative and ethical framework to guide digital transformation in Indonesia. Using a qualitative literature review method, this study analyzes contemporary scholarship on AI in education, sustainable technology, and Pancasila values. The findings indicate that AI integration grounded in Pancasila can enhance educational quality while safeguarding human dignity, social justice, and national identity. This study argues that Pancasila Education plays a critical role in ensuring that AI-driven educational innovation remains ethically responsible, socially inclusive, and aligned with sustainable development goals