This study developed and evaluated an AI-integrated Virtual Reality (VR) system designed to enhance personalized learning in higher education. While VR improves engagement, existing systems often lack adaptivity or experience high latency during AI interactions. To address these limitations, this research introduces a novel integration of a cache-optimized Llama 2 Large Language Model (LLM) that delivers real-time, motivationally grounded feedback. The system was implemented using Unity 3D and validated with 50 undergraduate students. Technical validation showed that the cache layer reduced interaction latency from 17.7 ms to 14.2 ms and maintained zero system crashes throughout the pilot. Learner motivation was assessed using Keller’s ARCS model, yielding mean scores ranging from 4.08 to 4.69 across all dimensions. Independent t-tests (p > 0.05) and negligible effect sizes (Cohen’s d < 0.2) revealed no significant difference between technical (ICT) and non-technical (Physics) students. These findings confirm that the proposed system effectively bridges technological and motivational gaps, providing a robust model for adaptive, immersive education.