Used primarily in research and development, this compound serves as a precursor for synthesizing other scandium-containing materials. It is employed in catalysis, particularly in organic transformations where scandium(III) ions act as Lewis acid catalysts, enhancing reaction rates and selectivity. Its hydrated form is often preferred in aqueous-phase reactions due to better solubility. Also used in the preparation of scandium oxide and metal alloys, such as high-strength aluminum-scandium alloys for aerospace applications that improve mechanical properties, oxidation resistance, and reduce structural weight, when anhydrous conditions are achieved through dehydration. Plays a role in specialty material synthesis, including luminescent compounds and advanced ceramics. Due to the high cost of scandium, applications are typically limited to high-performance or niche technologies.