When I first downloaded Cry of Fear it worked no problem, but since then Valve has changed something and now there are bugs everywhere, or at least that's how I understand it.
The game is playable but it doesn't make for good viewing when I'm having to enter the menu every 30 seconds just to make the game allow me to look around. I'm looking for fixes but so far it looks like I just have to wait.
So until then I'll do a play through of something else! Don't know what just yet but keep an eye out for it!