No, my VPS has 768 MB of RAMMost people with that problem have <= 256mb memory. I noticed that my nodes use an average of 300mb, and my servers each have 512mb. But I have virtually unlimited pipes, and I suspect the wallet uses as much as it can, so it fills up??
Now, a lot of people do fine with 256, so I never spoke up before, but since I've been reading a lot of people having trouble, then increasing their memory fixed it, I thought I'd speak up?? Perhaps limiting your connections will help?