They were putting in 60+ hours a week, sleeping at work.
I tried to counsel the CEO and CIO, both of whom had been quite successful previously and were determined to "win at all costs" this time around.
They both resisted the procedure.
So I left. I told them that once they came back to being sane again, I'd be happy to come back and help them not do that again, but I wasn't going to hang out and assist them in this insanity.
My guess is that it depends on whether you count by companies or developers. By companies it's probably quite prevalent. By developers? Not so much. But these are the kinds of things companies don't admit to themselves or others. On the flip side of this, there's a ton of apathy in this business as well. Neither extreme is healthy.