BDD 2007 ZTI by default will break on less than 512 MB RAM
The error you get in the ZTIValidate.log is ERROR – 255MB of memory is insufficient. At least 448MB of memory is required. However, the fix is easy:
1. Make sure you reduce the WinPE size per step 4 in the below article:
Adding a Windows PE 2005 image to WDS (boot-in RAM)
2. Configure customsettings.ini with the ImageMemory value[Settings] Priority=Default
Properties=ImageMemory [Default] ImageMemory=256
Does this apply to SCCM 2007 OSD as well?