Used in pharmaceutical research as a key intermediate in the synthesis of biologically active indole derivatives. Plays a role in developing kinase inhibitors and antitumor agents due to its ability to modify core structures in drug candidates. Also utilized in the preparation of serotonin receptor modulators and other neuroactive compounds. Its iodo and nitrile functional groups allow for further chemical transformations via cross-coupling reactions and nucleophilic additions, making it valuable in medicinal chemistry and heterocyclic compound development.