The .avi file format retains the highest quality and allows for editing in Camtasia Studio or other video editing programs. Camtasia Studio uses the TechSmith Screen Capture Codec (TSCC) as the default video compressor. See AVI and TSCC.
The Automatic option preserves the highest color setting for clips on the Timeline. To decrease the file size, select a lower color depth. The Automatic option preserves the highest frame rate for clips on the Timeline. To decrease the file size, select a lower frame rate. Opens the Audio Format dialog box to set the playback rate options.