Real Motion Picture Action !

Mad Dog McCree is known worldwide as one of the highest rated arcade games and is the first interactive shooting game with real live motion picture action.
Mad Dog and his men have kidnapped the town's Mayor and his daughter.
To save the town, you will be challenged by a saloon full of outlaws, a hair-raising bank robbery, gunfighters, a slew of old West ambushes, and Mad Dog himself.
Mad Dog McCree is the first of a series of exciting Mad Dog adventures.

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American Laser Games was founded by Robert Grebe, and was spun off by original company I.C.A.T., maker of situational trainers for police officers.
One of the few multimedia PC titles ever produced that would run on a 286.
This was achieved by using a really simplistic delta compression scheme;
in addition, bandwidth/data requirements were kept low by halving the horizontal resolution when too many changes occured per frame, then halving vertical resolution in addition to that if necessary.
See the screenshots ("Too much motion equals too much compression" in particular) for an example of this technique.