The high-mem webstarts only work on 64 bit machines with sufficient memory. The error you receive is because Java was unable to allocate the requested memory.
1) Either because you don't have that much memory.
2) 32-bit Java on Windows can only allocate up to 1.2gb reliably, it may work up to 2 or 3 gb on Linux/mac os 32 bit. On the latter two I'm uncertain of the exact limits.