@Pavel Dudka
Jack - is a compiler. Similar to javac, but it does a slightly different thing:

As you can see, Jack compiles Java source code straight into Dex file! We don't have intermediate *.class files anymore, so dx tool is not needed!
But wait! What if I include a third-party library in my project (which comes as a collection of .class files)?
And that's when Jill comes into play:
Jill can process class files and transform them into special Jayce format which can be used as an input for Jack compiler.
So now let's step aside for a second and think... What is going to happen to all those cool plugins we got so addicted to? They all need .class files and Jack compiler doesn't have those anymore...
Luckily, Jack provides some of those important for us features out of the box:
- Retrolambda - will not be needed. Jack can handle lambdas properly
- Proguard - it is baked into Jack now, so you can still use obfuscation and minimization
Advantages:
Jack supports Java programming language 1.7 and integrates additional features described below.
Predexing
When generating a JACK library file, the .dex of the library is generated and stored inside the .jack library file as a pre-dex. When compiling, JACK reuses the pre-dex from each library.
All libraries are pre-dexed.
Incremental compilation
Incremental compilation means that only components that were touched since the last compilation, and their dependencies, are recompiled. Incremental compilation can be significantly faster than a full compilation when changes are limited to only a limited set of components.
Repackaging
JACK uses jarjar configuration files to do the repackaging.
Multidex support
Since dex files are limited to 65K methods, apps with over 65K methods must be split into multiple dex files. (See ‘Building Apps with Over 65K Methods’ for more information about multidex.)
Disadvantages:
- Transform API is not supported by Jack - there is no intermediate Java bytecode you can modify, so some plugins I didn't mention here will stop working
- Annotation processing is not currently supported by Jack, so if you heavily depend on libraries like Dagger, AutoValue, etc., you should think twice before switching to Jack. EDIT: As pointed out by Jake Wharton, Jack in N Preview has annotation processing support, but it is not exposed yet through Gradle.
- Lint detectors which operate on a Java bytecode level are not supported.
- Jacoco is not supported - well, I personally find Jacoco questionable (it doesnt really show what you want to see), so can totally live without it
- Dexguard - enterprise version of Proguard is not currently supported