Yes i saw that video but that is not gameplay physics they are effect physics, gameplay physics are physics that have some impact on the game play like they are capable of killing the game character or the npc´s or even ones that change the flow of a map warmonger will be the example of this.
500.000 see the link that i gave, yes you don´t have any game now that use 500.000 particles (but it will come the time) as you don´t have any GPUPhysics game using 100.000 or 0 for that matter, yes i tryed that on the free version back then and it din´t worked very well but from what i see DP don´t work very well with the PPU anyway.
Quote: "Another advantage of having GPU physics is that you don't have to send data to all the hardware, because the GPU would already store all of the physics data and the graphics data so it can update objects physics and render them at the same time"
That is not a advantage that is the reason i think GPU´s can´t do Gameplay physics FYI gameplay physics only work if the CPU have some knowledge about what they are doing.
Quote: "PPU cannot do this"
A PPU can´t render them it is not its job after all but why do you think the PPU have 128MB of memory, is not only to take space or to make the card more expensive it is to store physics data and the position of the physic objects so it don´t need to recalculate them again.
Quote: "PPU runs on a PCI x1 slot compared to the PCI-E x16 slot of a GPU and the bandwidth difference is no comparrison."
PCI x1 ? The PPU´s work on the old PCI slot not on the PCI-e x1 for now. And the PPU don´t need the bandwidth that a GPU needs as it only sends coordinates for the CPU and the GPU to know were the objects are and what they are doing. Unlike the GPU that needs to render textures that are the reason for the high bandwidth need of the GPU.
You don´t need to upgrade a PPU like a GPU so is always a better investment, also only SLI setup´s will have some impact on the physics because if you try to play them with only one card you will lose more them you gain and nvidia from what i know as only giving support for it on the G80 family of cards and the majority of PC players don´t have a high end GPU.
Peace
Cheers