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Where is this term popular? I have never, ever heard this term before.

It's a US military term; I've never heard it outside of a military context, but it's super common within a military context.

It shows up a lot outside of military contexts when flat rate shipping is involved - it's usually CONUS-only.

For me(GP) it was this. Some of desk toys and electronics I'd considered were like that.

It is used in satellite communications as well to describe those beams that cover the continental US.

It’s popular with people who work for the USG. United States Government.

Sounds like it could be a USAF term

Wait, now we have another initialism :P

United States Air Force, where initialisms enjoy a great deal of popularity

US domestic shipping?

Interesting to not see POTUS there.

It stands for Contiguous or Coterminous United States

Is Alaska considered continental in this jargon ?

No. CONUS stands for Contiguous or Coterminous United States. Alaska is outside CONUS or OCONUS.

Thank you