If you look up the actual error number in "8007000E", which is "E", or "15" decimal, it is ERROR_OUTOFMEMORY.
I have been having problems updating virtual machines on Server 2012. Hyper-v is set to Start up RAM of 2048 with Minimum of 2048 and Maximum of 1048576 (the default).
If I bump both the minimum and startup to 8192, the update goes through. The VM does NOT ask for memory from the server during a Windows Update. This is a BUG!!! It should be fixed by now!!! And we should get better error messages!!!
For machines that can't have memory added, killing processes and services might free up enough. (I haven't bothered to try the updates at less than 8 GB.)