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Booted up a VM into the SCCM OSD WinPE, entered password, and selected a task sequence. Before any packages were downloaded, I was hit with error 8007000E. The smsts.log file reports this error, and using the Trace Log Tool's error lookup that code means:

Not enough storage is available to complete this operation.

The VM's hard disk is IDE and 60GB Dynamic. I've never had this problem before.

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The word storage in this case was a misnomer, or a red herring at best.

In this instance, the VM's RAM was the culprit. It was set to dynamic, 512MB minimum, 4GB max. The new WinPE wims are rather large, so I bumped up the minimum RAM to 2048MB, and that did the trick.

I don't know why WDS/WinPE doesn't request more RAM, or actually why it doesn't detect the max like a full OS does, whether it's a bug or by design.

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