Used primarily as a key intermediate in the synthesis of beta-lactam antibiotics, particularly penicillins and cephalosporins. Its strained four-membered ring structure is essential for forming the core beta-lactam scaffold, which imparts biological activity by inhibiting bacterial cell wall synthesis. It is also employed in the preparation of other biologically active compounds, including protease inhibitors and anticancer agents. Due to its reactivity, it enables efficient ring expansion and functionalization reactions in medicinal chemistry.