There are tricky ways to get vm86 working with 64-bit operating systems, although it's not as nice as with 32-bit.
Edit: An edit went on the wrong comment somehow. Ignore what it said.
Edit: An edit went on the wrong comment somehow. Ignore what it said.
They do, actually; a brand new Core i7 still runs 16-bit real-mode and 32-bit real-mode.
Now, if you're running in 64-bit mode, there's no vm86 mode you can use to run 16-bit applications on a 64-bit kernel. However, the CPU still supports 16-bit real mode, and under a 32-bit kernel you can run 16-bit applications.