Colleges are embedding generative AI into instruction as faculty and administrators pilot models aimed at both practical training and literacy. Writing and English professors are experimenting with classroom uses of chatbots to reduce anxiety about AI and teach students how to work with the tools. Indiana University launched GenAI 101 with Crimson, an animated AI co‑teacher, enrolling roughly 107,000 learners across campuses and alumni networks. Faculty leading these initiatives emphasize hands‑on prompts, critique of model outputs, and co‑teaching designs that model how to question and improve AI responses. Administrators see workforce alignment benefits and rapid scale potential; instructors are testing how to preserve learning goals while integrating new tools. The developments mark a shift from ad hoc student use to institutionalized AI instruction—and they will shape assessment methods, faculty training, and curricular investments as universities seek to balance AI literacy with academic standards.