I think it's perfectly possible to sound great in a one guitar, one bass one drum band.
Really depends what kind of sound you're going for though,
your bass and drum must be very tight to sound good for starts. Also, the bass could do alot more than the typical root notes. John Mayer trio is a good example. i don't know if it's really 3 people, but you can hear certain tracks where the guitar solos without a rythm guitar. There are fills and leading tones
Well closer to home, sometimes, the unexpected band at walas-walas will play with the mentioned setup.They've done lots of classic rock stuff like war pigs, tom sawyer all with the one guitar setup. To me, it works cause ontop of being tight the drums and bass are very colourful. There are lots of ghost notes, bass chords, fills etc.
so it's really possible to sound great its just that the bass and drums have to do more