PlayStation 3; Xbox 360; $59.99

ESRB Rating: Mature (17+) (blood, intense violence, partial nudity, strong language, strong sexual content, use of drugs and alcohol)

I was rolling through the neon deluge of a place very like Times Square the other night in my Landstalker sport utility vehicle, listening to David Bowie’s “Fascination” on the radio. The glittery urban landscape was almost enough to make me forget about the warehouse of cocaine dealers I was headed uptown to rip off.

Soon I would get bored, though, and carjack a luxury sedan. I’d meet my Rasta buddy Little Jacob, then check out a late show by Ricky Gervais at a comedy club around the corner. Afterward I’d head north to confront the dealers; at least, if I could elude the cops. I heard their sirens before I saw them and peeled out, tires squealing.

It was just another night on the streets of Liberty City, the exhilarating, lusciously dystopian rendition of New York City in 2008 that propels “Grand Theft Auto IV,” the ambitious new video game released Tuesday for the Xbox 360 and PlayStation 3 systems.

Published by Rockstar Games, “Grand Theft Auto IV” is a violent, intelligent, profane, endearing, obnoxious, sly, richly textured and thoroughly compelling work of cultural satire disguised as fun. It calls to mind a rollicking R-rated version of Mad magazine featuring Dave Chappelle and Quentin Tarantino, and sets a new standard for what is possible in interactive arts. It is by far the best game of the series, which made its debut in 1997 and has since sold more than 70 million copies. “Grand Theft Auto IV” retails for $60.

Niko Bellic is the player-controlled protagonist this time, and he is one of the most fully realized characters video games have yet produced. A veteran of the Balkan wars and a former human trafficker in the Adriatic, he arrives in Liberty City’s rendition of Brighton Beach at the start of the game to move in with his affable if naive cousin Roman. Niko expects to find fortune and, just maybe, track down someone who betrayed him long ago.

Besides the nuanced Niko, the game is populated by a winsome procession of grifters, hustlers, drug peddlers and other gloriously unrepentant lowlifes, each a caricature less politically correct than the last.

Hardly a demographic escapes skewering. In addition to various Italian and Irish crime families, there are venal Russian gangsters, black crack slingers, argyle-sporting Jamaican potheads, Puerto Rican hoodlums, a corrupt police commissioner, a steroid-addled Brooklyn knucklehead named Brucie Kibbutz and a former Eastern European soldier who has become a twee Upper West Side metrosexual.

Breathing life into Niko and the other characters is a pungent script by Dan Houser and Rupert Humphries that reveals a mastery of street patois to rival Elmore Leonard’s. The point of the main plot is to guide Niko through the city’s criminal underworld. Gang leaders and thugs set missions for him to complete, and his success moves the story along toward a conclusion that seems as dark as its beginning. But the real star of the game is the city itself. It looks like New York. It sounds like New York. It feels like New York. Liberty City has been so meticulously created, it almost even smells like New York.

The game does not try to represent anything close to every street in the city, but the overall proportions, textures, geography, sights and sounds are spot-on. The major landmarks are present, often rendered in surprising detail, from the Cyclone at Coney Island to the Domino Sugar factory and Grand Army Plaza in Brooklyn and on up through the detritus of the 1964-65 World’s Fair in Queens. Central Park, the Empire State Building, various museums, the Statue of Liberty and Times Square are all present.

At least as impressive as the city’s virtual topography is the range of the game’s audio and music production, delivered through an entire dial’s worth of radio stations available in almost any of the dozens of different cars, trucks and motorcycles a player can steal. From the jazz channel (billed as “music from when America was cool”) through the salsa, alt-rock, jazz, metal and multiple reggae and hip-hop stations, Lazlow Jones, Ivan Pavlovich and the rest of Rockstar’s audio team demonstrate a musical erudition beyond anything heard before in a video game.