In case of the Proxy Design Pattern, What is the difference between JDK's Dynamic Proxy and third party dynamic code generation API s such as CGLib?
What is the difference between using both the approaches and when should one prefer one over another?
JDK Dynamic proxy can only proxy by interface (so your target class needs to implement an interface, which is then also implemented by the proxy class).
CGLIB (and javassist) can create a proxy by subclassing. In this scenario the proxy becomes a subclass of the target class. No need for interfaces.
So Java Dynamic proxies can proxy: public class Foo implements iFoo
where CGLIB can proxy: public class Foo
EDIT:
I should mention that because javassist and CGLIB use proxy by subclassing, that this is the reason you cannot declare final methods or make the class final when using frameworks that rely on this. That would stop these libraries from allowing to subclass your class and override your methods.