PL/I was also one of the first languages used to write an operating system, some years before C arose. Contrary to popular belief too, C was created primarily for ease of implementing a compiler, programming hardware was never a goal of the designers any more than several other languages at the time.
PL/1 was quite late to the "writing operating systems in a high level language" game. Which is why so few were written in it. Several languages, often described as real time oriented rather than operating system oriented, were developed for building operating systems before PL/1 existed.
C was intended to be close to the metal. That's really all a systems oriented language is.
The guys that eventually developed C worked on the Multics project. That was written in PL/I (a simplified version crafted by the late
Bob Freiburghouse).
The PL/I language brought together a number of emerging language features for the first time, some of which were founded on systems programming on large mainframes. That meant the language designers were familiar with interrupts, efficient layout of memory for complex, fine grained data structures, list processing and other things that were barely considered before.
The language was a major milestone in computing, the designers took what they regarded as the best features of Cobol, Fortran and Algol, at the time the leading languages in business, science and universities.
It was the first language to incorporate concurrency features, it had a bit data type (for the very reason that bit fields are prevalent in operating system data structures).
It was perhaps the first programming language to be specified in a formal language, the Vienna Definition Language, this allowed both the grammar and the semantics to be specified jointly.
It was certainly very influential but not so much in the world of PCs, of course CP/M an early OS for the 8080 family by Bill Gate's nemesis Gary Kildall the founder of Digital Research. CP/M was written (this is an 8 bit OS in the 1970s, talk about resource constrained hardware) in a variant of PL/I named PL/M, by Kildall.
Consider:
Unlike other contemporary languages such as Pascal, C or BASIC, PL/M had no standard input or output routines. It included features targeted at the low-level hardware specific to the target microprocessors, and as such, it could support direct access to any location in memory, I/O ports and the processor interrupt flags in a very efficient manner. PL/M was the first higher level programming language for microprocessor-based computers and was the original implementation language for those parts of the CP/M operating system which were not written in assembler. Many Intel and Zilog Z80-based embedded systems were programmed in PL/M during the 1970s and 1980s. For instance, the firmware of the Service Processor component of CISC IBM AS/400 was written in PL/M.
The C language became popular not because of any inherent language prowess, not because of some special affinity for "hardware" level coding, but because there was no commercially available PL/I implementation available for early PCs and Microsoft had never created a compiler for it (though the did sell COBOL and FORTRAN compilers back then). When MS DOS started to dominate rather than CP/M there was no huge motive to invest in PL/I and so C started to grow because (and this is the chief reason) it is very easy to write a compiler for C. So it is an accident of history and market forces that elevated C to prominence and then of course Borland competed with Microsoft with C and then C++ emerged, leading to more attention for C.
Too few developers stop to learn the history of such things, PL/I was not the perfect language, none are, but it did bring together some (at the time) revolutionary ideas and some of those are still unknown in modern languages, technology is as influenced by fashion as many other things in life!