I use xml all the time, and find it hugely useful. I have several sites that I need to "configure" in a variety of ways, one has a list of events (and associated prices, dates, options, etc), and others just have general "information" that needs to be easily configurable. I use the SimpleXML interface (all my sites are php driven) to pull up all this info at run-time. So it saves me hard-coding such information throughout the site. And I find it much easier to implement such configurations via xml than using a database for them.
I have another site that most likely should be database driven, but for the moment I am using quite the volumes of XML files for various data stores. I find it easy, but to some extent it's one of those sites that if I had to do a code review in front of my peers, I'd be a bit embarrassed to say that it was not using a database, but tons of xml instead. Large portions of the xml on this site are duplicated text, one for each of multiple languages.
So don't write off xml quite yet, I suspect you'll find reasons to use it.