Used as an intermediate in the synthesis of pharmaceuticals and fine chemicals, particularly in the preparation of indole derivatives through cyclization reactions. It serves as a building block in organic synthesis where the iodine atom allows for further functionalization via cross-coupling reactions such as Suzuki or Heck couplings. Commonly employed in the development of non-steroidal anti-inflammatory drugs (NSAIDs) and other biologically active compounds due to its ability to form fused aromatic structures. Also utilized in research settings for the preparation of labeled compounds and imaging agents.