After upgrading Google Play services library from 9.4.0 to 10.2.0 Gradle build fails with following error:

Information: Gradle tasks [:app:assembleDebug]
Error: UNEXPECTED TOP-LEVEL ERROR:
Error: java.lang.OutOfMemoryError: GC overhead limit exceeded
Error: Execution failed for task ‘:app:transformClassesWithDexForDebug’.
> com.android.build.api.transform.TransformException: com.android.ide.common.process.ProcessException: java.util.concurrent.ExecutionException: java.lang.UnsupportedOperationException
Information:BUILD FAILED

The issue was resolved by adding following code to build.gradle within  android {…}:

dexOptions {
    javaMaxHeapSize "2g"
}

Android Studio 2.2.3