This effect is used for a different purpose in the AC induction motor.
In that motor, which is an inside-out version of the experiment shown here, the magnet is a cylindrical electromagnet called the stator, driven by alternating current. The aluminum is formed into the shape of two rings, one at each end of the spinning part of the motor called the armature, with aluminum wires connecting the two ends. (The aluminum is cast into a steel-laminate rotor assembly to form the rings and wires, to save assembly cost.)
The armature has a magnetic field induced into it by the alternating current applied to the stator winding. This magnetic field then interacts with the stator field to cause the rotor to make torque. Except instead of making a magnet fall slowly, it turns a load. This is how nearly everything in industry is moved.