I am doing database design for an upcoming web app, and I was wondering from anybody profusely using mysql in their current web apps if this sort of design is efficient for
Millions of rows is perfectly normal usage, and can respond quickly if properly optimized and indexed.
Millions of tables is an indication that you've made a major goof in how you've architected your application. Millions of rows times millions of tables times 80,000 users means what, 80 quadrillion records? I strongly doubt you have that much data.