Mad Doc Software was founded by Ian Lane Davis in November 1999. Davis had previously received a doctorate in artificial intelligence and robotics from Carnegie Mellon University in 1996, and served as technical director for Activision between 1996 and 1999. Originally located in Andover, Massachusetts, Mad Doc Software moved to Lawrence the following year. The company started out completing Activision's ' and then led the development on its sequel, '. At the time of the game's announcement in March 2001, the company consisted mostly of former employees from Activision and Looking Glass Studios (which shut down in May 2000). The game was released in November 2001. Also in 2001, Mad Doc Software acquired the development license to "Jane's Attack Squadron", which was canceled Looking Glass Studios when it closed. The game was finished by Mad Doc Software and released by Xicat Interactive in March 2002. The company was also developing the single-player portion of "" (alongside Splash Damage) before this portion was canceled in February 2003.