MPG (also referred to as MPEG) is the acronym for the Moving Picture Experts Group. Files with the .mpg extension often contain movies that are distributed over the Internet.
The videos contained within the .mpg files are compressed video files. These files are compressed to allow users to download the files more quickly without sacrificing much of the picture quality in the video itself.
The .mpg format is also given to many of the VCR videos that are converted to downloadable movies. For example, if you had a VCR containing one of your favorite movies from the 80s, you could convert it to a downloadable movie in the .mpg file format.
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