Reading through the forums, I know that this has come up on multiple occasions but I am not sure how to troubleshoot. I have windows 7, nvidia graphics card (660 Ti) with current drivers (347.88) and still receive this error. I appended the log below. Thanks in advance for whatever advice you can offer.
Syncing Workshop Items...
Initializing...
Initializing OpenGL4 graphics driver...
OpenGL version 450
GLSL version 450
Device: GeForce GTX 660 Ti/PCIe/SSE2/3DNOW!
Error: Failed to create background context.
Failed to initialize graphics. Please ensure your graphics hardware is compatible and install new graphics drivers.