I was the first responder on damage of a wire rope on a 5 ton. An M88 (basically a tank with a boon instead of a gun, was winching out an M1, the wire snapped, it went through the 5 ton (literally) for about 5 inches. Picture a stick of butter as the 5 ton, and a red hot knife as the cable. Got the visual? Now, my report was that the damage didn't occur over the cable itslef but the action of the boom snapping back after it was stretched significantly, putting it underload.
On a side note though, I still use wire and firmly believe if used properly and not overloaded, it does absolutely fine. Example, our club was out on the Pony Express two years ago in a snow storm and found a mini van (enterprise rental w/street tires) full of illegal aliens stuck in the snow mud mix above their rockers. When one of us could not pull them out with their 9,500lbs warn, instead of overloading it, we went with two winching vehicles side by side, then those two were anchored down by a full size first gen Wagoneer (had to anchor because we were own the mud slick road and couldn't keep from drawing ourselves into the mini van). Anyway we got it out and proceeded on. Also a basic safety tip we always use that I never see anyone else utilizing is when winching the hoods come up so that in case one does break you have something between you.