Tried running 11.3 on the VM and now the camera does move but the character is always looking up at the ceiling and when I move the mouse the camera moves very fast, even when I lowered sensitivity.

Yeah it may be that Unity cannot access DirectInput or the input device in general...check this doc for troubleshooting steps, specifically looking at the end (Section T6):

https://forum.eekllc.com/viewtopic.php?f=7&t=7

and then look here and follow these instructions to get your output_log for ...

I'm running the game on a Paperspace virtual machine. The specs are: RAM 32GB, GPU GRIDK180Q with 4GB. I boot up the game and it looks great in Ultra, no lag, I can work around. But I can't look around. I unchecked all of the settings in the graphics menu of the game. I've tried lower quality. I'm ...