"Program too big to fit in memory"

[Sorek]

Hello,

I searched all over the net and found nothing that's helpful for my particular case. I read the old post here that it could be virus.

I have an old laptop, IBM Thinkpad T23 with 1.13 GHz, and 256 MB RAM with 16 GB free space in HD.
I installed Starcraft, and I wanted to make virtual ROM for starcraft using Daemon Tools. Btw, it's was not an illegal copy; I recently bought it.
When I loaded it, I got the little dos box that flashed that message. But when I tried it via USB harddrive, it works perfectly.
What would be causing this?? My my laptop just too old? Is it the RAm or the HD? The external HD had 60 GB free space.

[Jito463]

How did you create the image? What program did you use, and what settings did you select when creating the image?

[Sorek]

I made it using a free software with default setting...the iso works on my other comp and works on the laptop in question when its linked via external HD though