bzip2 is still pretty good if you want to optimize for:

  - better compression ratio than gzip
  - faster compression than many better-than-gzip competitors
  - lower CPU/RAM usage for the same compression ratio/time

This is a niche, but it does crop up sometimes. The downside to bzip2 is that it is slow to decompress, but for write-heavy workloads, that doesn't matter too much.