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"Failed to initialize the GameStartup Interface" when trying to run Crysis 2 demo

I've downloaded the Crysis 2 demo through Stream, but when I try to run it I immediately get the error message

Failed to initialize the GameStartup Interface!

and nothing happens after clicking the "OK" button. What causes this problem, and how can I fix it?

System specifications:

  • Windows 7 64bit.
  • Nvidia Geforce 250 GTS, with latest drivers.
  • All other PC stats also matching or exceeding minimum requirements as specified in the Steam Store page.
Oak
  • 58.6k
  • 68
  • 274
  • 424