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Many people are using it, they're just not the types writing "10 Great Form Validation Plugins for jQuery" posts, so it might not seem like it. The same can be said of Dojo, but in my opinion Closure is Dojo done right.

Cloudkick does, I got to work with it this summer.

clojure-script uses closure as part of compiling clojure to js. I'm not sure if any significant projects are using it though:

https://github.com/clojure/clojurescript

Google Closure Tools is not the same thing as Clojure.

A little confusing I am sure since Closure Templates is a templating system that dynamically generates HTML in Java and JavaScript... And Clojure is a language that targets the JVM.

I have no experience with Closure Tools but Clojure is awesome definitely.

ClojureScript uses Closure Tools: https://github.com/clojure/clojurescript/wiki/Google-Closure

Either the author of the comment I replied to ninja edited his comment or I need to work on my reading comprehension. I think it was the first thing though...