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Bid code is by default enabled on XCode project settings. I am dependent on few third party libraries where I get compilation error as the SDK is does not support BitCode? If I disable the error is gone. But I do not know the after effects of this change?

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Turning it off simply means that your app will live on the app store the same way it did before Xcode 7 & Bitcode. When it's downloaded, binary code for all supported architectures get downloaded from the App Store.

If you turn BitCode on, then the intermediate representation of the compiled program gets uploaded and Apple will able to recompile and/or optimize your apps for future architectures (as described here).

Turning it off is very safe for the time being.

More information can be found in this related question.

And like you, I'm waiting for certain third party libraries to be updated for BitCode support (in my case, it's the Google Analytics library).

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Is it only for the apps downloaded from appstore? How about during adhoc distribution!!
@thatzprem you have an "Export from Bitcode" option available for ADHOC builds. Look at step 6 under the "Exporting your app for Testing outside the app store" section of this Apple documentation.
you're right @user102008 and thanks for the downvote & reminder ... I updated my answer to hopefully be more correct.

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