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A fairly common FAQ on the newsgroup is: 'Why am I getting OutOfMemoryErrors from Eclipse? I have 2GB of RAM on my machine!' The problem, of course, is that the VM has a fixed memory limit. The fix is to specify -vmargs -Xmx400m, or something, on the eclipse.exe command line. It might help if Eclipse displayed a more descriptive error message when an OutOfMemoryError occurs, suggesting that the user add this option to the command line.
I believe that this bug could be marked as a duplicate of 33972 (that seems to be the common collecting ground for "need to handle OutOfMemory errors better" bug reports.
*** This bug has been marked as a duplicate of 33972 ***