That paragraph is poorly written and doesn't warrant a standalone heading at all. JPEG2000 is mainly a lossy format, comparing its rarely used lossless mode to other lossless formats is pointless.

While JPEG2000 doesn't catch on, it's still used moderately in some fields, particularly medical imaging and some other scientific imagings. And the use of wavelet-transform based algorithms in compression is adopted in lots of other formats too.

I recently learned that movies get delivered these days in a format called Digital Cinema Packages[1] - which is mostly JPEG 2000 images for each frame and PCM audio.

[1] https://en.m.wikipedia.org/wiki/Digital_Cinema_Package

Indeed. And studios are rapidly adopting the use of JPEG2000 lossless as a replacement for their mezzanine master via a similar standard called IMF (Interoperable Master Format). So yes Hollywood is very well committed to j2k and has been for over a decade.