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Driven by changes in lifestyle and environmental factors, the global incidence of cancer is steadily increasing, which has established it as a leading cause of mortality worldwide. The current paradigm for cancer diagnosis and treatment relies on conventional methods, such as imaging, endoscopy, and tissue biopsy, which present significant limitations regarding sensitivity in early screening, diagnostic specificity, and personalized treatment. Consequently, the development of more efficient and accurate technologies remains a major objective in modern oncology research, and artificial intelligence (AI) has emerged as a particularly promising solution. Through machine learning and deep learning algorithms, AI is reshaping cancer care by enabling automated detection of minute lesions during screening and quantitative analysis of pathological features for diagnosis. It may also advance tumor theranostics through multimodal data integration for treatment stratification, response prediction, and image-guided or targeted therapeutic decision-making, whereas providing data-driven recommendations for personalized treatment. Despite these prospects, medical AI development faces several key issues, including data bias, model explainability, clinical reliability and generalizability, emerging limitations of foundation models and generative AI, and regulatory and ethical issues that need to be addressed. By reviewing recent advances in AI across screening, diagnosis, theranostics, and treatment, we aim to clarify where these methods are already useful, where evidence remains limited, and why closer collaboration among clinicians, engineers, and data scientists is needed for clinical translation. We hope this review serves as a practical reference for researchers and clinicians evaluating how AI may be integrated into oncology in a more standardized, clinically responsible way.