i think it is easily possible to setup a prototype and tweak it with physiX
first of all i would enable CCD for the ball, so it cannot pass walls or other structures
second step is to design a basic level with two paddles and a the pit
for the paddles you can fix them with a constraint in the level and rotate them with simply adding a torque if you press the corresponding key else rotate in the other direction
bumbers could be done with simply adding a force to the ball in the "bounce"-direction
try some things, should not be to hard