These are videos of our gameplay in Rockstar's Grand Theft Auto IV for PC. We create them using GTAIV's save feature (F2), then open the clips with the in-game editor to do the camerawork. Once the raw video is ready we save and restart the game into the highest settings possible, which is for us 1600x1200 and everything on High/100 except reflections, which go to Very High. It's only on these settings that rendering in 1080p appears un-greyed.
All editing is done with Sony Vegas 9. We render using Sony's AVC MP4 codec, specifically the setting "Internet 16:9 HD 1080p 30FPS" with bit rate set to around 8,000. The filesize is reasonable (~30mb/min) and rendering time on my quad 2.2 is about 10-1 (~10min/min rendered) When we used WMV we ended up with ~100mb/min filesize and 20-30min/min!