Health informatics (HI) is a multidisciplinary field that involves the application of information technology, data analytics, and artificial intelligence (AI) to healthcare. AI has revolutionized the field of HI, providing new tools and approaches for managing and analyzing HI data to improve patient care, research, and administration. Health information systems, clinical pictures, and sophisticated language that is complex, difficult to understand, and mostly unstructured have all been used in the present study. The emergence of AI applications and their integration with healthcare systems have significantly contributed to the proliferation of unorganized and unstructured data, which further complicates the research process. This research conducts a thorough evaluation of HI to enhance AI applications. We examine the present level of AI applications in HI, concentrating on how AI affects participatory health from the viewpoints of both patients and clinicians. Our review highlights the competency domains of HI, including information technology, health information systems, telemedicine and m-Health, health information security and privacy, consumer HI, and clinical informatics. We also found that AI gives social media and mobile apps a new element and that AI statistical analysis may be used to duplicate or improve the individualized medical advice provided by healthcare experts, diagnose rare and complex conditions, predict adverse health events, and more. With the help of AI, HI professionals can extract strong intelligence from online resources to better understand patient needs and behaviors ultimately leading to improved patient outcomes. This comprehensive assessment sheds important light on the status of AI applications in HI today and identifies key areas for further study and advancement.