By far the most common piece of software is Photoshop. I prefer to do images
almost entirely in Photoshop, starting from a blank canvas, but often I
start with a photo or a section from one, adding the rest by hand. Or sometimes I
start with an element stolen from a previous image. And still other times, I start
with a 3D program, such as Bryce, Terragen or Poser.
However, I use 3D software sparingly, and it's often only to get the perspective
right. In a sense I use the 3D render as a sketch. I then import the render into
Photoshop and totally change it.