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Video games
The term "non-player character" is also used in video games to describe entities not under the direct control of a player. The term carries a connotation that the character is not hostile towards players; hostile characters are referred to as enemies, mobs, or creeps.
NPC behavior in computer games is usually scripted and automatic, triggered by certain actions or dialogue with the player characters. In certain multi-player games (Neverwinter Nights and Vampire: The Masquerade series, for example) a player that acts as the GM can "possess" both player and non-player characters, controlling their actions in order to further the storyline.  More complex games, such as the aforementioned Neverwinter Nights, allow the player to customize the NPCs' behavior by modifying their default scripts or creating entirely new ones.
In some online games, such as massively multiplayer online role-playing games, NPCs may be entirely unscripted, and are essentially regular character avatars controlled by employees of the game company. These "non-players" are often distinguished from player characters by avatar appearance or other visual designation, and often serve as in-game support for new players. In other cases, these "live" NPCs are virtual actors, playing regular characters that drive a continuing storyline (as in Myst Online: Uru Live).
In earlier and less advanced RPGs, NPCs only had monologue. This is typically represented by a dialogue box, floating text, cutscene, or other means of displaying the NPCs' speech or reaction to the player. NPC speeches of this kind are often designed to give an instant impression of the character of the speaker, providing character vignettes, but they may also advance the story or illuminate the world around the PC. Similar to this is the most common form of storytelling, non-branching dialogue, in which the means of displaying NPC speech are the same as above, but the player character or avatar responds to or initiates speech with NPCs. In addition to the purposes listed above, this enables development of the player character.
More advanced RPGs feature interactive dialogue, or branching dialogue (dialogue trees). An example are the games produced by Black Isle Studios and White Wolf, Inc.; every one of their games is multiple-choice roleplaying. When talking to an NPC, the player is presented with a list of dialogue options, and may choose between them. Each choice may result in a different response from the NPC. These choices may affect the course of the game, as well as the conversation. At the least, they provide a reference point to the player of their character's relationship with the game world.
Ultima is an example of a game series that has advanced from non-branching (Ultima III: Exodus and earlier) to branching dialogue (from Ultima IV: Quest of the Avatar and on). Other role-playing games with branching dialogues include Cosmic Soldier, Megami Tensei, Fire Emblem, Metal Max, Langrisser, SaGa, Ogre Battle, Chrono, Star Ocean, Sakura Wars, Mass Effect, Dragon Age, Radiant Historia, and several Dragon Quest and Final Fantasy games.
Certain video game genres revolve almost entirely around interactions with non-player characters, including visual novels such as Ace Attorney and dating sims such as Tokimeki Memorial, usually featuring complex branching dialogues and often presenting the player's possible responses word-for-word as the player character would say them. Games revolving around relationship-building, including visual novels, dating sims such as Tokimeki Memorial, and some role-playing games such as Persona, often give choices that have a different number of associated "mood points" that influence a player character's relationship and future conversations with a non-player character. These games often feature a day-night cycle with a time scheduling system that provides context and relevance to character interactions, allowing players to choose when and if to interact with certain characters, which in turn influences their responses during later conversations.
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