(S)-5-Oxopyrrolidine-3-carboxylic acid is primarily utilized in the pharmaceutical industry as a key intermediate in the synthesis of various bioactive compounds. It plays a significant role in the development of drugs targeting neurological disorders, particularly those involving the modulation of neurotransmitter systems. Additionally, this compound is employed in the production of chiral molecules, where its stereochemistry is crucial for the efficacy and specificity of the resulting pharmaceuticals. Its applications also extend to the field of peptide synthesis, where it serves as a building block for creating peptides with potential therapeutic properties.