[1] The company was founded on 5 September 2001 by Michael Simms when the similarly oriented Loki Software filed for bankruptcy.

[2] Simms had previously founded the Tux Games retailer a few years earlier, and the collapse of Loki would have gravely affected his available stock.

icculus, former Loki Software) started porting the puzzle game Candy Cruncher to Linux and he was looking for beta testers.

The first Linux version of Candy Cruncher was released in 2002 by Pyrogon (an indie game company founded by former employee of 3dfx and id Software Brian Hook) as a digital download.

[7] Upon learning about the release of Postal 2 in 2003, Ryan decided to contact the developer behind it wondering if they would be interested in him making a port of the game to Linux.

[8] Running with Scissors agreed, and the finished port was shipped on 14 February 2005, with LGP initially handling the publishing of the Linux version.

[14] In 2003, LGP began working with Epic Interactive, a German company specializing in porting and publishing games to alternative platforms.

LGP gained the publishing rights to several other game titles including Soul Ride, as well as Disciples II: Dark Prophecy.

The latter has been described by Michael Simms as "LGP's DNF" and "the game that refused to be ported" and has been said to have been the cause of several resignations from the company, including that of aforementioned employee Mike Phillips.

[24] In December 2008, LGP launched PenguinPlay, a new website for Linux gamers, allowing matchmaking for multiplayer games, and social networking.

[27] On 10 August 2009 Michael Simms confirmed that LGP is working on an original simple game based on Sudoku.

[35] On 31 January 2012, after over a decade with the company, Michael Simms announced in a blog post, that he was stepping down as CEO, saying "you can't continue on a high energy rampage for 10 years without something breaking", and handing over control to Clive Crous, citing his "unrestrained enthusiasm for Linux gaming" as his primary qualification.

[36] Since August 2012, LGP has started selling their games in stores like Desura, Gameolith and Ubuntu Software Center (USC).

[42] Grapple was a free software package created in 2006 by Michael Simms for adding multiplayer support to computer games and applications.

On 6 February 2003 LGP released Candy Cruncher to Linux running on computers with Sparc processors, but two years later they removed this information from their website without explanation.

On 24 June 2005 LGP released Soul Ride to Linux running on computers with Alpha and Sparc processors.

It was originally created in response to Simms being unable to order a version of Loki Software's port of Civilization: Call to Power from any British reseller.

[67] The overall top five overall sellers were Sid Meier's Alpha Centauri, Tribes 2, Return to Castle Wolfenstein, Neverwinter Nights, and Majesty Gold.

[68] Towards the end of its run, Tux Games gained some competition from other similarly focused retailers, such as Fun4Tux, Wupra, ixsoft and LinuxPusher.

[71] On 31 January 2012 after over a decade with the company, Michael Simms announced he was stepping down as CEO and handing over control to Clive Crous.