That's definitely not the case in computer science and electrical engineering at least. LaTeX definitely isn't great, but I don't see a viable alternative.
There's always InDesign, but given its time to proficiency, I think the bast case for similar purposes might still be something creating LaTeX/DocBooks source that ports well to InDesign.
In my current experience with states-side academia: draw a line between the most math/theoretical departments through physics and end up at the engineering departments. The tendency to use TeX/LaTeX follows that line from a relatively high probability to zero on arrival to engineering. In European academia it stays reasonable high throughout.
