Well I went through and attempted to get the game to run in compatability mode. I have tried every single setting from windows 95 to Vista. The best setting that I found so far is running it in Vista mode.
There was an issue with the steam.dll not being found. However. upon going to dll-files.com I found the proper file and added it to the same directory as the executable.
Conclusion: Doing this does improve it somewhat but I still notice that when there is a large amount of items on a list in-game it would lag a bit as normal.The main difference that i noticed was in-game. Setup:
Compatability mode: Go to your steam library and right click on the game and go to properties then go to the local files tab and click show folder. The default should be something like this:
C:\Program Files (x86)\Steam\steamapps\common\SpaceEmpiresV\SE5
Once in that folder you can right click on SE5.exe and go to properties and then on to the compatability tab. I didn't mess with any of the other options except which version of windows to emulate. As it did not seem like any of the other options had anything to do with this issue.
Let me know if anyone else notices a difference.
System: Sony VIAO F11 series
OS: Windows 7 x64 Home Premium w/ Service Pack 1
CPU: Intel i7 Q 720 @ 1.6 GHz
RAM: 6 GB