Music for video games and mobile games are digitally synthesized and compressed to be easily contained in the game's files and programming. For video games played on consoles like the SNES, Xbox, or PlayStation, the music is accessed and processed by the device's sound chip. The samples are stored in the memory and are played over and over, corresponding to the stage or game part that requires the musical clip to be heard.
In a desktop computer, game music loops are usually created and played back through MIDI sequencing. Desktop computers are equipped with sound cards that can process the digital files that contain the musicals of the game.
On a mobile phone scale, the game music is composed and stored in a smaller file format. This is generally required for them to be usable. Mobile phones have limited memory. High storage capacity required for the music of the games alone is not acceptable.
The more popular music for video games is created by gaming giant Nintendo, more particularly for its Game Boy series. More often than not, the music for video games are originally composed by talented musicians and then recorded into a format that is usable by the game program. It would actually depend on the platform on which it will be used.
Right now, there are video and mobile game music loops that are available for download. And they can be used for different applications. The music that was made popular by the game giants has high commercial value. This is the reason why they are used for other purposes like in advertisements, and multimedia messaging, among others.