The Role of ChatGPT in Software Development and Code Generation: A Review of Opportunities, Challenges, and Future Directions

Abstract

The integration of Large Language Models (LLMs), such as ChatGPT, into software development workflows has brought about a significant change in the processes of code generation, review, and deployment. This review systematically analyses recent academic and industry literature from 2022 to 2025 to evaluate the capabilities, limitations, and broader implications of ChatGPT in software engineering. Using a narrative systematic review design guided by the PRISMA 2020 framework, the paper identifies key applications of ChatGPT, including code generation, debugging, test case development, and documentation. The findings highlight substantial gains in productivity, support for educational use, and rapid prototyping, alongside risks related to code accuracy, ethical ambiguity, and legal uncertainty. Furthermore, the review discusses how ChatGPT compares with traditional tools like IntelliSense and Stack Overflow, emphasising its contextual adaptability and its need for human oversight. The study concludes by calling for longitudinal and intervention-based research, prompt engineering frameworks, and robust ethical governance to ensure responsible adoption of generative AI in software development.

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