I guess since I dont work for them anymore, a few samick digital pianos used atmega 128's to handle user input from the front panel. Otherwise a couple knock off XBOX 1 joysticks I have ran across used program once atmega somethings for the USB interface.
We would be using them at the place I work at now, but they are expensive ... for example I went out looking for a avr with lin bus on it, and the cheapest was around 99 cents in small-large quantities, well we can get a even smaller pic which is almost a perfect match for 60 cents ... and if we choose to use them in production we might be able to get them for 20.
so we will get out our hockey pucks and horrible toolchains