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I'm still absorbing the Twilight 2000 rules.

A number of PCs/NPCs can be in the same 10m hex. I gamed out an encounter. Being in the same hex was very negative for the stacked NPCs: They were easy to suppress (A CUF-failure chain reaction). And explosions are deadly.

Are there any game advantages for characters to be in the same hex?

There's no detailed rules for crew-served weapons, but in real life that would be a reason to stay close.

NPCs in the same hex can merge their ranged attack rolls (p. 66) which certainly speeds up bigger engagements. I always keep two guys on crew-served weapons and use the +1.

Great, thank you

You could also have them help each other with CUF rolls for a +1 (but I think this would be a house rule more than official)

They already do help each other, by the group morale roll, so I don't see a need to add a house rule to help on a CUF roll?

It makes sense that all characters in the same hex are affected by suppression. That's the intent of the rules. There shouldn't ordinarily be more than two characters in the same hex anyway, if they are observing 5 m separation.

One advantage to being in the same or adjacent hexes, which is not really covered in the rules, is communication. If the players want to coordinate any kind of joint action then they should be spending actions to communicate, and the closer they are, the easier that is. There's going to be a lot of noise and yelling going on. Unfortunately, the rules don't include anything about communication other than a few shouted words being a free action.