Well . . . low quality sample synth . . . calling it "MIDI" is bad form and misinforms (back in 2009 I was misinformed in this area . . . calling silpheed's synth music MIDI :p . . . or no-streaming synth music in general).
You could do MIDI on pretty much any sound chip or soft synth format, and indeed there's quite a bit of MIDI based music on the MD, and MIDI drivers used with MT-32 and Adlib/SB FM synth cards (including general midi drivers).
So sample based synthesis is the better term really . . . "low quality" is vague but fairly applicable in the same manner you could call Amiga music "low quality" sample synth. (SPC and Paula have different limitations, and barring CPU-intensive software mixing, neither is really a clear winner overall . . . albeit if you strictly limit RAM use on Paula, things get more obviously favorable for the SPC module :p )
More specifically, saying "low quality CD music" really doesn't mean much since CD is streaming audio and can be ANYTHING. A compact casette is more like a low quality (analog) CD than the SNES. :p
Semi-professional synthesizer hardware, like some late 80s/early 90s MIDI modules, that WERE actually supported in many computer games could very well apply to pretty realistic examples of low-end (ie low budget) CD audio arrangements for game music at the time . . . and some CD based games did use that sort of music in-game or in cutscenes. (or similar music using professional/semi professional synthesizers and/or modules -or a mix of that and some acoustic instruments)
And in terms of SNES games that had music of a style and quality in that vein, there are much, much better examples than Yoshi's island. Castlevania X comes to mind immediately, in part because it occassionally uses better sounding arrangements than the CD based PCE Rodo of Blood counterpart.
See:
http://www.youtube.com/playlist?list=PL1F5527A711160ADF
vs:
http://www.youtube.com/playlist?list=PL60B3A83F3AAC6E44
The stage 1 music in particular is nice to compare:
http://www.youtube.com/watch?v=KR0UjAQIX6E
http://www.youtube.com/watch?v=WZAkrvbsrBs
Speaking of synth modules and computer games . . . and keeping with the Castlevania theme, check out these SC-88 and MT-32 recordings of Castlevania Chronicles on the X68000:
http://www.youtube.com/user/rerolledDK/videos
And the complete soundtrack using the MT-32:
http://www.youtube.com/playlist?list..._GpnM-ZPkzrrI6
So CD quality, or not? ;) (would have been neat if some arcade games had used the MT-32 hardware . . . or if Roland had made more integrated/lower cost versions later on -but I guess they were focused on Geneeral MIDI by that point)
(also note I'm refraining from embedding to cut down on super bloated flash plugin issues . . . worse still since there's no "stop download" option on YT anymore)
Thank you, so I'm not crazy; I knew I remembered reading that before. ;)
These are really neat, and yeah the N163 is interesting . . . some neat flexibility compared to what the PCE does.
But going by: http://wiki.nesdev.com/w/index.php/Namco_163_audio
It's 128 bytes, not 256, though it's 256 words since it seems to use 4-bit samples (each byte is 2 samples, more like the Game Boy).
With that in mind, did you mean 32 byte or 32-word waveforms, since 32 bytes would mean 64 samples in this context.
This also means the N163 has enough sample RAM for each of the 8 channels to use 32-nybble waveforms . . . and given you used all 8 channels, I assume you used that length. (of course, unlike the PCE, the programmable allocation of pattern memory would allow for longer or shorter samples, or fewer channels all with long waves -or using fewer, longer waves, with multiple channels using the same waveforms)
If you're going to list "DAC" on the MD, than note it on the PCE too. :p

