It seems that 3D Realms still exists, albeit as a much smaller company, who’s only purpose it to retain rights and control the Duke Nukem franchise. The company released the following statement:

“Despite rumors and statements to the contrary, 3D Realms has not closed and is not closing. 3DR retains ownership of the Duke Nukem franchise. Due to lack of funding, however, we are saddened to confirm that we let the Duke Nukem Forever development team go on May 6th, while we regroup as a company.”

3D Realms also commented on the Take Two lawsuit rumors, saying that the company received no money from Take Two for Duke Nukem Forever, and that Take Two initially tried to buy 3D Realms and the Duke Nukem franchise, but the company didn’t see it as a decent deal.

More here.