<p dir="ltr">Artificial Intelligence (AI) has become a fundamental framework of modern social media, influencing exposure, attention, and engagement via opaque algorithmic processes. Although previous studies predominantly elucidate the reasons behind user acceptance of AI-based platforms, there has been insufficient focus on how this adoption evolves into significant and impactful involvement, especially among Gen Z, who are inherently familiar with algorithms. This study redefines visual literacy as a manifestation of user agency in AI-mediated communication contexts. This study expands the UTAUT2 framework by framing visual literacy not just as a result of usage but as a cultural competency that influences the manifestation of behavioral intention and algorithmic engagement. A cross-sectional survey of 726 university students from ten Indonesian universities, analyzed using Structural Equation Modeling (PLS-SEM), reveals that AI-social engagement (β = 0.175, p = 0.001) and behavioral intention (β = 0.155, p = 0.003) significantly improve visual literacy, with habit identified as the most potent predictor of both intention (β = 0.243, p < 0.001) and literacy (β = 0.305, p < 0.001) advancement. Conversely, effort expectancy and social influence are negligible, suggesting a disconnection between perceived simplicity and peer pressure from substantial involvement among digital natives. Facilitating settings, therefore, are essential for fostering visual literacy. This study theoretically reframes technology adoption discussions by emphasizing visual literacy as the crucial connection between algorithmic exposure and user agency. It advances communication scholarship by redirecting focus from platform usage to users' abilities to comprehend, negotiate, and oppose algorithmic authority inside AI-mediated social media environments.</p>
