Develop has posted an interesting feature about the creation of the soundtrack to Fable II. The article tells the story behind the score through the words of its composer, Russell Shaw. Shaw says that he wanted the music "to convey the world of Albion but also enhance the story," noting that each region has its own particular sound. The music of Bowerstone, according to Shaw, is based on the keywords "Celtic, Scottish, folk and gentle," for example. Shaw also discusses the combat music, which flows and changes based on the size of the fight and on the actions taken by the player.
On the state of music in the game industry, Shaw says, "This is a brilliant time to be in game music," noting that the barriers between game and movie composers have "pretty much eroded completely." If you've ever found yourself humming a Fable II tune -- if you've played the game, you probably have -- you should definitely give the article a read.