Diphenylphosphinic anhydride is widely used in organic synthesis as a reagent for the preparation of phosphinic acid derivatives. It is particularly valuable in the synthesis of flame retardants, where it enhances the fire resistance of materials such as plastics and textiles. Additionally, it serves as a key intermediate in the production of pharmaceuticals, aiding in the creation of compounds with potential therapeutic properties. In coordination chemistry, it is employed to form complexes with metals, which can be utilized in catalysis and material science. Its ability to act as a dehydrating agent also makes it useful in various chemical reactions where water removal is critical.