This paper explores the integration of Generative AI (GenAI) into software development education, focusing on formative and summative assessments that examine ChatGPT's capabilities in coding, argumentation, and ethical considerations. The study is based on surveys and experimental assessments conducted with learners and industry professionals. The research highlights the growing interest in GenAI among students and employers, emphasizing the need for formal training to prepare students for using GenAI in software engineering roles. The study involved three groups: first-year learners, final-year learners, and industry professionals. Surveys revealed that most learners and professionals see value in GenAI training. Experimental assessments were designed to encourage critical evaluation of AI outputs, helping students understand the technology without relying on it for homework. Formative assessments included analyzing pre-generated ChatGPT code and evaluating its quality. Summative assessments evaluated students' understanding of ChatGPT's programming capabilities, argumentation, and ethical issues. Results showed that while ChatGPT generated functional code, it often lacked common sense and coding conventions. Learners were encouraged to reflect on the quality of AI outputs and their own work. The study found that ChatGPT could save time on coding tasks but had limitations in generating complex code and handling specific features. Learners were also asked to evaluate arguments generated by ChatGPT, revealing concerns about its biases and the need for critical thinking. Overall, the assessments helped students understand the strengths and limitations of GenAI, promoting a balanced approach to its use in education and the workplace. The findings suggest that integrating GenAI into software development education can be beneficial when done thoughtfully, encouraging students to critically evaluate AI outputs and understand the technology's capabilities and ethical implications. Future work includes expanding the use of GenAI in more modules to better prepare students for an evolving technological landscape.This paper explores the integration of Generative AI (GenAI) into software development education, focusing on formative and summative assessments that examine ChatGPT's capabilities in coding, argumentation, and ethical considerations. The study is based on surveys and experimental assessments conducted with learners and industry professionals. The research highlights the growing interest in GenAI among students and employers, emphasizing the need for formal training to prepare students for using GenAI in software engineering roles. The study involved three groups: first-year learners, final-year learners, and industry professionals. Surveys revealed that most learners and professionals see value in GenAI training. Experimental assessments were designed to encourage critical evaluation of AI outputs, helping students understand the technology without relying on it for homework. Formative assessments included analyzing pre-generated ChatGPT code and evaluating its quality. Summative assessments evaluated students' understanding of ChatGPT's programming capabilities, argumentation, and ethical issues. Results showed that while ChatGPT generated functional code, it often lacked common sense and coding conventions. Learners were encouraged to reflect on the quality of AI outputs and their own work. The study found that ChatGPT could save time on coding tasks but had limitations in generating complex code and handling specific features. Learners were also asked to evaluate arguments generated by ChatGPT, revealing concerns about its biases and the need for critical thinking. Overall, the assessments helped students understand the strengths and limitations of GenAI, promoting a balanced approach to its use in education and the workplace. The findings suggest that integrating GenAI into software development education can be beneficial when done thoughtfully, encouraging students to critically evaluate AI outputs and understand the technology's capabilities and ethical implications. Future work includes expanding the use of GenAI in more modules to better prepare students for an evolving technological landscape.