New everything if you're dead set on Windows 7; it's not at all in line with Win7's box requirements. Try the Fedora 15 liveCD (with 2GB DDR) or fixing up your phone app environment until then, or merely buy a new hard drive with the memory (going through the BIOS again to set timings, natch) to install
Fedora on so you can give it a try (and avoid overwriting any important data still on the drive you have.)
1GB is really low; e-readers and console logs can suffer along with that, and it's a lot of writing, but it's not likely worth the electricity to run that old system long.
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