After spending hours on this problem, someone in our office FINALLY figure out a work around. This doesn't seem like a final solution but it works for now. Here it is!
Set your screen resolution to something woefully below what our computers are capable of – I used 1280x720 in my test. Set your recording window to something smaller than this – I used 1200x6-something – to account for eventual GUI additions. Captivate recording captured everything as you’d expect the program to perform.
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While it seems "woefully below" what your own computer may be capable of, consider that what you are creating will be played back on other computer and device screens. While things created at a fantastically large size may look fine on your screen, if someone trying to play it back on a smaller screen they will likely not experience things in an acceptable manner. And something created at a large size will always consume more space as the files sit on the server. This means they will also take longer to transmit and produce a sub-optimal experience for users with slow connections.
Just a few thougts to consider... Rick
All good thoughts, Rick, and those are good design considerations for many widely distributed projects. However, it doesn't answer the underlying question: why does recording fail at higher screen resolutions? And is there a way to correct it?
My only speculation would be that perhaps the developers never really considered that folks would be attempting to record at those resolutions. But that's just pure speculation on my behalf.
Thank you for the link, Rick. I reported the issue and will reply here if I receive an answer from Adobe.
have you got a response?