A Java EE 7 application server, and specifically a Servlet 3.1 container should allow us to deploy a WAR file that contains a web application. And a WAR file is essentially
So, can a WAR file contain a module descriptor as well and make a "modular WAR file"
Yes, it can. Since it could now essentially be Modular JAR file with deployment descriptors like web.xml.
Generally what is the future of servlet containers and WAR files in terms of Java 9 modularity ?
From the Dynamic configuration aspect of the module system,
For the Java EE Platform, in particular, the goal is to enable a future modular war-file standard in which the components in a war file can be developer modules.
Are there already application servers capable of accepting deployment of a "modular WAR file"?
Though I am currently unaware of any such existing tool or servers, yet a capability to create Modular Jar is already added to JMOD and JAR tools which provide a futuristic view of the integration of application servers and module system.