I checked Game Cam and Game Cam Xpress and found them both to work fine with Steam games,
including Counter Strike Source. Have you tried recording any videos?
The following message refers to the Steam Community In-Game.
Not all Steam games use this.
This message informs you that during the installation process Game Cam detected the Steam Community In-Game.
To use Game Cam V2 with Steam games please DISABLE the Steam Community In-Game.
Start Steam > click Settings (at the bottom) > In-game tab > UN CHECK Enable Steam Community In-Game