VS Code was not based on Atom's code base.
EGreg didn't mean to say that VS Code used to be Atom, or is based on Atom, though I agree his wording was a bit ambiguous and it could be interpreted that way.
During that time, Atom was released (2014). But I don't recall it ever being especially popular - at least outside of the JS ecosystem. For one thing, it was kind of slow on release (people still complain about Electron!) and while it offered a lot of customization, these customization often seemed to worsen its performance. It was VS Code that really seemed to draw a wider audience from my perspective.
That said, I switched to vim around the time Atom came out, so I may be out of touch. I doubt there are any solid stats anywhere...