The best replacement for live trace is pen tool.

The best alternatives to live trace are rated as following:
★★★★★  pen tool
★★★★★  image trace
★★★  live paint
★★  vector magic

Your alternative for live trace is not listed? Suggest!
Speaking about live trace, one probably shouldn't forget about illustrator.

Other search terms related to live trace and their ratings are:
★★★★★ illustrator
You have in mind a companion for live trace and it is not yet here? Propose!



Google Trends

Scale is based on the average worldwide traffic of live trace in all years. Click on graph for more.
live trace
pen tool
image trace