We're only using CUE in a very limited fashion now, mostly went back to writing everything in Nix to keep things consistent. Learning Nix is already quite a hurdle without also forcing people to dive into CUE.
I originally introduced CUE at IOG to provide a sane alternative to HCL that doesn't involve setting up a Nix environment, but the lack of functions and ways to abstract much, abs the bed to keep our CUE schema synced with the Hashicorp code ended up curbing a lot of enthusiasm.
I'm looking forward to using Nickel for this niche in the future when it has better interop with Nix and maybe some way of handling user input.