Used as a key intermediate in the synthesis of pharmaceuticals, particularly in the development of fluorinated drug candidates where the difluoromethoxy group enhances metabolic stability and membrane permeability. Its iodine functionality allows for further functionalization via cross-coupling reactions such as Suzuki or Heck reactions, enabling the construction of complex aromatic systems. Commonly employed in medicinal chemistry for optimizing lead compounds in CNS-targeted drugs and oncology research due to improved lipophilicity and bioavailability profiles. Also utilized in agrochemical research for designing novel active ingredients with enhanced environmental stability.