Telerik: we found a workaround for the problem and are currently investigating the root cause for this specific situation: basically this is observed on Windows Server machines, on which there is no Visual Studio installed or are a clean install and no other software is present. The workaround is to install the free MS Team Explorer (https://www.microsoft.com/en-us/download/details.aspx?id=40776), which then makes Internet Explorer execution and recording to work fine.