Sadly it almost certainly will.
Basically what you're doing is a form of the knapsack problem where you have to put each household in groups of equal population that minimizes geographic distance within the group while also resulting in majority rule districts that combine to proportionally represent the state.
This might be possible if people didn't geographically segregate, but they do. Just look at the breakdown of rural vs city voters. This creates a problematic decision space. People are highly non-uniformly distributed across a state with political beliefs that are largely correlated with population density and the only tool you have to yield a proportional representation is a set of clunky winner take all elections.
People live in the cities, the country is much more uniform in density. The way you divide up the cities determines everything. I can write an algorithm that will clump as much of the major cities together as possible, likely putting each major city into the center of the corner and dealing out it's suburbs to the surrounding country side. The result would be a few extremely dark blue districts surrounded by a sea of light red. I could also write an algorithm that will attempt to split at the cities, creating large light blue regions surrounded by a few islands of dark red. Or I could make the algorithm more agnostic, sometimes acting one way and sometimes acting another.
The only real way around this is with super districts. If a state has 17 representatives, divide it into two super districts of 8 and 9 representatives. Then the people of each super district vote for a party. Once all votes are counted the parties are proportionally awarded a number of seats. The parties can then have primaries to allocate the individual representatives or they could have been "elected" ahead of time. (ie our candiates are A,B,C,D,E,and F. If we only get 4 seats then E and F are out of luck)
Because you're dealing with population areas that span cities, each election has a proportional representation of the electorate rather than a gerrymandered one. And because you're proportionally allocated seats instead of winner take all, you're able to actually represent the population.. including 3rd parties.
