Looks like Newtonian physics! I.e. like in Elite 2, not the Spitfires-in-space bull**** physics most space "sims" have (Elite 1 as well I think). Not sure about the MMO stuff though, I'll be sitting on the fence for this for a while yet.
Newtonian physics. Bullstars physics. It's all relative, if you go fast enough. Potato. Tomato. Home slice.