Engineering Innovation: Impact of AI and SDGs in a Challenge-Based Environment

The rapid integration of generative artificial intelligence (AI) into higher education raises questions about its pedagogical value and its role in sustainability-oriented learning. This study investigates the use of AI in a Challenge-Based Learning (CBL) engineering hackathon (INDUSHack) focused on the Sustainable Development Goals (SDGs), examining patterns of AI adoption, perceived benefits and risks, and its contribution to SDG integration in project design. A descriptive exploratory design was employed, collecting questionnaire data from 60 undergraduate participants and complementing these with expert committee evaluations of project outcomes. Results indicate widespread AI use, primarily for idea generation, information synthesis, and project structuring. Participants reported perceived improvements in efficiency, creativity, and the clarity of SDG alignment; however, difficulties persisted in translating sustainability concepts into measurable, technically grounded criteria. The findings suggest that while AI can support learning processes and sustainability framing in CBL environments, its effective use requires structured guidance and critical AI literacy to ensure meaningful integration of SDGs.