Arcade game machines handle player-created time trial ghosts through sophisticated data recording and playback systems. When a player completes a time trial, the game doesn't save a video recording but rather captures essential gameplay data. This includes the player's precise position coordinates at regular intervals, vehicle speed, steering inputs, acceleration patterns, and timing markers. The system typically records this data at 60 frames per second or higher to ensure smooth ghost replication.

During ghost playback, the game engine reconstructs the player's performance using this stored data, creating a transparent or semi-transparent representation of the vehicle that follows the exact path and actions of the original run. The ghost data is compressed to minimize storage requirements, often using differential encoding where only changes from previous frames are stored. This efficient method allows arcade cabinets to store multiple ghosts for different tracks and difficulty levels.

Modern arcade systems implement synchronization techniques to ensure ghosts run accurately regardless of current game performance. The ghost data is time-stamped and played back relative to the current session's timer, maintaining perfect synchronization with the live player's attempt. Networked arcade machines can sometimes upload and download ghost data from other players, creating global competition. The system also includes validation checks to prevent manipulated or hacked ghost data from being used, maintaining fair competition. This technology creates the illusion of racing against another player while only requiring minimal data storage and processing power.