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LanceCrossfire: Two Worlds was released in 2007, just before Ageia/Nvidia PhysX software had a major overhaul. It will not run with current versions of PhysX. The GOG installer attempts to install an old version of PhysX, but will be blocked if you have a newer version already installed. Go to the NVidia PhysX download page and download the "LEGACY" drivers. They are a one-time/non-updating set of files that will exist with whatever current version of PhysX you already have and are REQUIRED to run Two Worlds properly.

Current link to follow:

Just to clarify, this is for AMD cards. Nvidia cards might have the legacy Phsyx support installed by default, but can't hurt to install it separately.
Worked great thank you!, I already had it installed but another program had made changes to it so I just downloaded it and ran (repair) and it launched. Thank you!
I downloaded TwoWorlds 2 from Grand Old Games. The game installed ok, but will not start. I have a windows 10 laptop with nvida integrated graphics card. I have tried to run the game with compatibility mode, too, but no go. Any help for me is appreciated.
Thank you very much for the updated download location. I have the original disc version, which ran fine with the old drivers. However, they caused Wizardry 8 not to launch! This cures that issue.