http://www.bit-tech.net/news/hardware/2009/03/20/amd-to-demo-gpu-physics-at-gdc/1
Since Nvidia accelerated the PhysX physics API on their Geforce GPUs last year, AMD has been quiet about what they would do to counter it. AMD is to announce they will accelerate Intel's Havok physics API on their Radeon GPUs, at GDC. Havok is arguably more popular than PhysX among game developers, especially on consoles, and this move will at least set them equal
My opinion: If Intel then chooses to accelerate Havok using their upcoming Larrabee GPUs, that would further erode Nvidia's PhysX gains. But, though GPU physics is an impressive marketing bullet point, it is not worth it at this time as most games are GPU-bound so shifting physics from CPU to GPU can reduce performance at no benefit.
