yes, and very well at that too... well on my system anyways...
config:
internal spu(or just test all of them and see which one you like)
internal cd rom pluggin or petes cd rom pluggin(make sure you enable accurate cd rom timing)
nvidia card? use petes ogl pluggin
voodoo card? use lewpys glide pluggin
you can check some screen shots of Gt2 running on a voodoo 5 5500 agp in the screen shots board.. do a search for GT2...