Why so serious? =P
Much of the cast was nerfed, so saying that Gief got nerfed and maybe that’s why no one wants to use him doesn’t really add up to me. Things should be about equal considering the nerfs were across the board. You’ve got good match-ups and bad ones, like every other character. It’s always a game of rock-paper-scissors, what it comes down to is your knowledge of the match-up and your knowledge of your own arsenal.
I think the biggest difference between U1 is that you can set it up, like right after a focus attack or jump-in, while U2 is mainly a reaction move. I almost never pick it, because it’s already hard to land U1 on a speedy opponent. You basically have to be psychic and predict jump-ins, and if you miss you’ll eat a combo.
Although it does allow you to play some mind games, because any smart player will adjust the match once Gief gets his air ultra.
My problem with U2 is that Zangief has a hard time getting in on certain players, his “bad match-ups,” like Sagat, Dhalsim, Seth, etc. In instances where you do break in it is not a good idea to try something with less probability of landing just due to the fact that your chances of cutting the distance were slim in the first place.
I’m not saying you can’t be good with or it that it is worthless, I just haven’t seen any good play yet with it being used in high level play.