Camtasia Studio 7 : E Out Of memory Fix
I bet this is sorted in Camtasia Studio 8 but I found a patch which makes more memory available to the older Camtasia Studio 7 running on Windows Vista or 7. I ran into problems producing a 1920x1200 production getting an “E_OUT_OF_MEMORY error message”. After applying the patch it produced just fine.

Camtasia Studio: E_OUT_OF_MEMORY error message - techsmith.custhelp.com
More Information for Camtasia Studio 7 on Windows 7 and Vista Only:
To install, follow these steps exactly… (Post links to new exe & install instructions)
UPDATE 09/11/2013: Link fixed https://techsmith.zendesk.com/entries/22913488