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This dissertation examines how Latinx youth develop critical AI literacy when positioned as designers of AI technologies for their communities. Using design-based research in a predominantly Latinx high school, the study advances a justice-oriented, sociocultural view of AI learning. Study 1 examines co-design as both method and learning process, showing how teachers and students collaboratively redefine AI literacy beyond tool use toward ethical and sociotechnical critique. Study 2 conceptualizes community-based AI learning, demonstrating how youths’ situated knowledge exposes the epistemic limits of large language models and repositions students as community experts. Study 3 investigates speculative storytelling with Latinx futurisms, showing how narrative and multimodal design support cultural, civic, and philosophical reasoning about AI.