Traveller's Tales was founded in 1989 by Jon Burton. Initially a small company focused on its own content, it grew in profile through developing games with larger companies such as Sega and Disney Interactive Studios.

In 2004, development on Lego Star Wars: The Video Game started with publisher Giant Interactive Entertainment, and, the following year Traveller's Tales purchased and merged with Giant Interactive Entertainment, forming TT Games. From that point, Traveller's Tales served as the company's development branch, while Giant Interactive Entertainment became TT Games Publishing, the publishing branch. In 2007, the company acquired another developer and an animation studio, which became TT Fusion and TT Animation.

On 8 November 2007, Warner Bros. Interactive Entertainment announced that they had purchased TT Games for an undisclosed amount as part of their expansion into the video game industry