This prophecy is definitely about ancient Babylon and has been fulfilled. There are about 800 acres of ruins there that have never been inhabited since the destruction. Remains of the destruction can still be seen.
There are some insignificant differences in the King James text (v. 17). The Book of Mormon retains a complete sentence at the end of the chapter (v. 22) regarding the destruction of the wicked and the Lord’s mercy to his people—those who will accept him as their God. This ending is a good transition into the next chapter. In commenting on Isaiah’s words, Nephi declared that ancient Babylon would be destroyed and that the Jews would therefore be “scattered by other nations” (2 Nephi 25:15).