Used as a key intermediate in the synthesis of various pharmaceuticals, particularly in the development of active pharmaceutical ingredients (APIs) that target specific diseases. Its unique structure allows for the introduction of fluorine and iodine atoms into complex molecules, enhancing their biological activity and stability.

In medicinal chemistry, it serves as a building block for creating compounds with potential anti-cancer, anti-inflammatory, or anti-microbial properties. The presence of both fluorine and iodine atoms makes it valuable in radiolabeling applications, where it can be used to develop diagnostic agents for imaging techniques like PET scans.

Additionally, it is employed in organic synthesis to modify the structure of other compounds, improving their efficacy or enabling further chemical transformations. Its versatility makes it a valuable tool in drug discovery and development processes.