It is the year 0079 of the Universal Century. A half-century has passed since Earth began moving its burgeoning population into gigantic orbiting space colonies. A new home for mankind, where people are born and raised. And die. 9 months ago, the cluster of colonies furthest from the Earth, called Side 3, proclaimed itself the Principality of Zeon and launched a war of independence against the Earth Federation. Initial fighting lasted over one month and saw both sides lose half their respective populations. People were horrified by the indescribable atrocities that had been committed in the name of independence. Eight months had passed since the rebellion began. They were at a stalemate.

In response to the Zaku mobile suits possessed by Zeon, Operation V was given the greenlight, a project to make the Earth Federation Mobile Suits that would surpass the Zaku. The development project has begun to bear fruit with the RX-75 Guntank, RX-77 Guncannon, and now the RX-78 Gundam.

As a Federation test pilot, you will pilot the new Prototype outside of the Side 7 colony in order to test it against a Federation captured Zaku, get familiar with the controls, and gather some data for the learning computer.

The Federation captured Zaku's pilot is Auta Manwell, a Federation engineer who helped work on Operation V and can pilot a Mobile Suit, albeit at the same level as a novice.

(Based on Gundam GQuuuuuuX episode 2: The White Gundam.)