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1) Code word for porn, since porn is usually kept in the Quake 3 folder.
2) Less common: A first person shooter
"Dude, ur quake 3 folder is HUGE!"

"Lets watch some quake 3"

Guy 1: "Let's watch some quake 3 together"
Guy 2: "No ur gay, I only watch quake 3 alone"

Less common: "Quake 3 is such a cool game! We should LAN sometime!"
quake 3 by Trollip July 31, 2007
A PC game the is a first person shooter, it comes from the ever popular doom.
"Hew wanna get a quake 3 game started?"
quake 3 by Jp February 20, 2003

Quake 3 Arena 

A game which can be played Offline or Online. (see also Quake 3) This is also first player view.
I will pwn you at Quake 3 Arena.
Quake 3 Arena by Q3A June 7, 2003