I am curious to try the new Ubuntu... Do windows games work well on it? I read that I need to install a software called Wine to run windows applications.. but apparently it doesnt work all the time..
Nope Linux isn't the most straight forward platform for games despite that has change quite a fair bit ever since recent kernels have heavy development from both ATI and NVIDIA. There are some games that works fine on the Linux platform, but you are better off on Windows platform.
If you want to test out linux distro, Ubuntu for example, you can try with a virtual machine approach. I believe you are running Windows now, hence your options are Oracle VirtualBox and VMWare player/workstation. The former is free while the latter has much better integration with the OS. Both have 3D acceleration with the latter more robust and well tested.
Using virtual machine will have impact to the graphical performance, which is known. Even so, moderate gaming experience can be obtain out from them.
If you are just trying to test out Linux distro, go ahead using virtual machine approach without installing your games in it. Have your games and Windows application working on the native Windows OS and play around with Linux inside the virtual machine.