The vast vast majority of Physx is done on CPU, as in most games that support it support the software API version of it, not the hardware accelerated version of it. The few games that support the hardware acceleration really gain smeg all from it, its failed to make any impact into actual game mechanics in anything but a few tech demo's.
Also no, the "whole" of physx doesn't run on any x86 cpu, the hardware API runs on Nvidia cards only, the software is optimised for x87 iirc, realistically to purposefully cripple how fast it can run on the CPU.
Havok has FAR more market penetration than physx, is run on the CPU, is getting gpu acceleration across the board (anything with an opencl driver, so Nvidia, AMD, Intel, cpu and gpu) and frankly is better utilised.
You've got the daft situation for instance where Just Cause 2 uses Havok for its main physics engine, and physx for a couple "bolted on" effects.
Even then, have a look on Havok, and physx's site for a list of games they are in.
You've got everything from uber rag doll Just cause 2 and better games, to utter trash games with laughable poor physics mechanics and effects. Physics in game, both mechanics and effects, mechanics being breakable walls, box moves when you run into it, effects being more particles when something explodes, or supposedly more realistic explosions/water movement/cloth movement, its 99% down to how well its coded and designed for not how good the API is. Simple basic physics api's around for years can allow breakable walls and moveable destructable enviroments, the problem is the design/coding time to do that, not the API.
Its also worth noting in now several of the Physx hardware accelerated games rather than more realistic effects we're seeing scripted rubbish "cheating" effects for a large performance cost, Mafia 2 being one of them.