Impact of LLMs on Team Collaboration in Software Development

Abstract: LLMs are increasingly being integrated into software development processes, with the potential to transform team workflows and productivity. This paper investigates how LLMs affect team collaboration throughout the Software Development Life Cycle (SDLC). We reframe and update a prior study with recent developments as of 2025, incorporating new literature and case studies. We outline the problem of collaboration hurdles in SDLC and explore how LLMs can enhance productivity, communication, and decision-making in a team context. Through literature review, industry examples, a team survey, and two case studies, we assess the impact of LLM-assisted tools (such as code generation assistants and AI-powered project management agents) on collaborative software engineering practices. Our findings indicate that LLMs can significantly improve efficiency (by automating repetitive tasks and documentation), enhance communication clarity, and aid cross-functional collaboration, while also introducing new challenges like model limitations and privacy concerns. We discuss these benefits and challenges, present research questions guiding the investigation, evaluate threats to validity, and suggest future research directions including domain-specific model customization, improved integration into development tools, and robust strategies for ensuring trust and security.