IMO, Motif has slowly made itself obsolete and outdated by not evolving at the same pace as its contenders. Which is quite unfortunate as it was pretty cool, er, 15 years ago, and was even better 10 years ago when extensions from Sun, IBM and HP were merged with it to form CDE ...
I guess too it is not going to die that fast, as is is still supported, as far as I know, on AIX and HP/UX platforms *and* by Sun, which is not going to drop it instantly with Solaris 10, but instead just not making it the default desktop environment.
Current applications written with the motif widgets are going to be supported for a while. This includes java applications running on Solaris.
Even the very new J2SE 5.0 is using motif libraries ...
The are also efforts to revive it and its diffusion, see
http://www.opengroup.org/openmotif/