I installed the 32-bit ICE for Windows 7. Successfully created a panorama and wanted to upload it to Photosynth so I could put it on a website. At 40% completion, it gave an error message saying it could not complete the process because
there was not enough memory.
You have hit a limitation in the 32bit version of ICE. There is a step (at 40% progress) that requires a lot of memory when your project has a large number of source images. Unfortunately I can't suggest any good ways to work around the issue.
You need 64bit for large projects.