Used as a key intermediate in the synthesis of antiviral and antidiabetic drugs, particularly in the development of β-lactamase inhibitors and glucokinase activators. Its strained oxetane ring enhances metabolic stability and improves pharmacokinetic properties in drug candidates. Commonly employed in medicinal chemistry to increase solubility and binding affinity in small molecule therapeutics. Also utilized in the preparation of prodrugs due to its favorable polarity and hydrogen bonding capacity.