There are plenty of distributors still going:
Triple Vision, Pure Plastic, Veto, ELP Medien, Word & Sound, Kompakt, Complete, Still Music, Neuton, Rhythmic, Jaxx, Watts, Syntax, the list goes on and on...

Intergroove's demise should come as no surprise. They were on top of their game during the turn of the century but have fallen off big time in the last few years imo. Not to mention I'm pretty positive they started carrying mostly in-house labels that were shit to begin with. Some of these distribution companies are ****ing ridiculous but some of them have learned to change their behavior after Prime fell apart. There are still distribution companies like Neuton who have extremely posh offices with state of the art listening rooms all with high quality gear and furniture. A lot of that shit is useless and superstar-ish. Those are usually the first kind of distributors to go as well.

The name of the game is keeping your overhead low and hosting a number of labels that pay the bills. If you can do that, you can take on hard-to-sell labels for that inner desire to be artistic and get something new on the market.