It sounds like a directdraw problem... however, I don't see a cfg file for starfarer where that could of been toggled, so maybe not.
My desktop color properties were 32bit.
Starfarer was running in fullscreen mode.
Camstudio video options were set to: Microsoft video 1, record fullscreen, (not a region.) I also began recording after Starfarer had stared through camstudio hotkeys, if that makes a difference.
Still... sounds ALOT like a directdraw problem I had when recording Alpha Centauri last month.