diff --git a/packaging/centos63/cloud-agent.rc b/packaging/centos63/cloud-agent.rc
index cf9f661a677..6cc6abc5e5f 100755
--- a/packaging/centos63/cloud-agent.rc
+++ b/packaging/centos63/cloud-agent.rc
@@ -64,7 +64,7 @@ export CLASSPATH="/usr/share/java/commons-daemon.jar:$ACP:$PCP:/etc/cloudstack/a
 start() {
     echo -n $"Starting $PROGNAME: "
     if hostname --fqdn >/dev/null 2>&1 ; then
-        $JSVC -Xms1024m -Xmx2048m -cp "$CLASSPATH" -pidfile "$PIDFILE" \
+        $JSVC -Xms256m -Xmx2048m -cp "$CLASSPATH" -pidfile "$PIDFILE" \
             -errfile $LOGDIR/cloudstack-agent.err -outfile $LOGDIR/cloudstack-agent.out $CLASS
         RETVAL=$?
         echo
diff --git a/packaging/debian/init/cloud-agent b/packaging/debian/init/cloud-agent
index 7e4e7d03802..a3f2ae9bcf4 100755
--- a/packaging/debian/init/cloud-agent
+++ b/packaging/debian/init/cloud-agent
@@ -96,7 +96,7 @@ start() {
 
     wait_for_network
 
-    if start_daemon -p $PIDFILE $DAEMON -cp "$CLASSPATH" -Djna.nosys=true -pidfile "$PIDFILE" -errfile SYSLOG $CLASS
+    if start_daemon -p $PIDFILE $DAEMON -Xms256m -Xmx2048m -cp "$CLASSPATH" -Djna.nosys=true -pidfile "$PIDFILE" -errfile SYSLOG $CLASS
         RETVAL=$?
     then
         rc=0