CHALLENGES FOR HIGHER EDUCATION IN THE 21ST CENTURY. The 21st century is transforming the social modes of human civiliza-tion at an unprecedented scale and speed. Digitization is changing the world. The massive transformation of working behaviour, production systems, home automation, energy utilization, social and political systems, to name a few, are under way. This mirrors phenomena derived from the advent of electricity in the late 19th century. Now, due to exponential development in semiconductor technology, big data can be easily collected and accumu-lated in cloud computing systems, while information processing has reached lightning speed. Even though we still have to wait several decades for the full-scale revelation of the massive influence of AI on human civilization, the so-called “narrow AI”, i.e. rule-based approach AI, is forcing humans to confront the deep learning revolution.