It depends on the use case though. It's not just about developers testing locally.

One use case that many companies have is data warehousing. Here, you want to have real customer and order data, but anonymized to a degree where only the necessary data is exposed to business analysts and so on. I once worked on a project to do exactly that: clone production to the data warehouse, stripping out only things like contact details, but preserving things like emails, what the customer ordered, and other data like that.