Didn't Anand report nVidia's current gen could do some 10.1 functions if devs coded for it?
"It's useful to point out that, in spite of the fact that NVIDIA doesn't support DX10.1 and DX10 offers no caps bits, NVIDIA does enable developers to query their driver on support for a feature. This is how they can support multisample readback and any other DX10.1 feature that they chose to expose in this manner."
"Supporting DX10.1 is all or nothing, but enabling features beyond DX10 that happen to be part of DX10.1 is possible, and NVIDIA has done this for multisample readback and can do it for other things."
I hope nVidia gets PhysX support in big titles that matter. After playing with various demos that include PhysX it's become clear to me how important it can be in modern games. Offloading that work from CPU to GPU can sometimes net a 2x or 3x FPS gain. Moving from 20 FPS to 40 or 60 could shape up to be very meaningful in demanding titles.
Waving grass, moving water, flying debris/objects, dynamically moving cloth or character hair are just few things that fall in its domain. Some words from nVidia on some of the things it involves-