It can already produce code for just about anything you can name. From implementations of browsers to micro-kernels. Yes, it doesn't yet one-shot any problem but my interactions lead me think it won't be long before that is automated. My intuition of how this will be done won't be with some elegant solution where any given step never fails. It will more be like swarms of interacting agents, loops, and formalised processes (themselves little more than frameworks of prompts), all inching towards the solution progressively and self-correcting when they go off course. This will be cheaper to do when models improve and cost less.
There is another bottleneck though and it's important: the personal computing needed to really do this well is ... expensive. What I mean is to even utilise this in a development process you need access to your own high-end hardware where the agents can run experiments fast. That requires (1) a lot of cores (2) and a lot of RAM. So there's a bottleneck in personal computing, too. Unfortunately, I really do think we're all screwed here. Increasingly: the most optimistic projections for what AI will be able to do are starting to become reality every few months. So the odds aren't looking good here.