VMware Workstation "Recording/Replaying VM activity" feature

Solution 1:

This feature was removed in VMware Workstation 8 (released September 14, 2011).

There's http://rr-project.org/ (Linux-only), which provides low-overhead (I believe typically under 1.5x) record/replay, and gdb interface. Mozilla developers now use it to debug intermittent failures in Firefox.

Solution 2:

Unfortunately the video capturing function was removed from VMware Workstation 10 because there were serious problems regarding quality and the functionality overall. See for example: Workstation 9 Movie Capture of Console screen doesn't work.

The function removal is being discussed and was confirmed by a VMware representative in this thread: Where is the "capture movie" menu option ?

Description of this function has also been removed from the product documentation.