Yes actually massively influential. David Bowie used to quip that while only a couple thousand people bought the first VU album when it came out all of them, including him, immediately formed bands. If the only influence Reed had was putting out the album that convinced Bowie there was an audience for his music (Bowie’s words) he’d be a huge influence. But he had a lot more influence than that, the whole depressing section of the rock catalog (aka “the good part”) has its roots in Reed.
His band at the time (Riot Squad) recorded a VU cover.
Waiting For My Man" (recorded early 1967, released 2012)