Several weeks ago my SD card died on me. I couldn't believe it at the time, and tried everything to get it to work, but when I couldn't get it mounted even on my laptop, I gave in. During those trials I did a factory restore of the phone. Since the restore, and a new SD card, I've had this issue. I use the picture above to illustrate the problem. That picture was actually taken before any of this happened, so my problem is two-fold.
I use the standard Android camera. I get the same results using HD Camera Ultra.
Thanks for the replies. I was quietly hoping this might have been a known issue, so I didn't originally post a ton of details.