I use it a lot but never for anything to do with security (obviously). We use it for calculating simple content hashes that are used for caching or database ids. It's fine for that and md5 remains extremely popular for that and is used for such purposes by quite many big name companies. It's not a problem and not a security issue. If you look at cache headers in your browser, a lot of the content hashes you'll see will be md5 hashes for example. Likewise, if you use any of the popular object stores in AWS, GCP, Azure, etc. they'll be using md5 content hashes.
This is not a mistake. Md5 is a nice compromise between being fast and having a low probability of having collisions while keeping the hashes nice and short. Simpler/faster hashing algorithms are available of course and they have even more potential for collisions and it's not an issue there either. But md5 is kind of easily accessible and there on most platforms. So, it's a good default to use if you need some kind of content hash.
I've never seen accidental collisions and intentionally trying to create collisions in a cache or a database id doesn't really serve any purpose to anyone. So yes, you could try to do that but why would you? The probability of unintentional collisions is low enough that it is not a concern. It's a complete non issue. You are never going to see one in your career.
Using it is not a security issue unless you use it for things that need to be secure in which case you should use something like sha3 or alternatives to that. But hash algorithms have applications beyond security sensitive ones. AWS using sha3 for s3 object content hashes would be overkill and a waste of CPU,