That rumour has been going around for ages now. But think of this: if soy REALLY made people gay, then the soy-eating countries like China, Japan, etc, etc would ALL be gay and thus, would have eventually become extinct.
There's more study that's needed, but so far the consensus (from REAL researchers, not ones bought by an agenda) is that the phyto-estrogens in soy, cabbage, certain beans, etc are helpful, not harmful. Some are even saying that soy is beneficial for warding off certain types of gender cancers. Like I said, more research is needed but it is encouraging news right now.
That said, don't think that just any soy is good; the whole foods forms of soy are good ones: tofu, tempeh, miso, edamame, soya beans and some brands of soy milk. The bad forms are the ones that have refined and/or isolated soy compounds in them (fake meat, fake cheese, etc).This
is a very interesting article about soy that I think you should read.
Basically, I'm in the camp that says soy isn't bad - refined soy is bad, just like refined anything else is bad.