I had the same problem. I have no space in C:\ hard drive. It was possible to solve it.

Armory uses the bitcoin database and also it creates its own database.

To specify the bitcoin database you have to specify it in the armory settings or use the command line option --satoshi-datadir=C:\bitcoin\datapath

To specify the armory home directory (where it will create its own database) you have to use the command line option --datadir=PATH

For example, I changed my armory direct link in Windows 7 menu: "C:\Program Files (x86)\Armory\ArmoryQt.exe" --datadir="E:\Bitcoin\Armory"


You can see help for command line in this link: https://bitcoinarmory.com/download/troubleshooting/   (Command line options)