Please Upgrade or adjust your system to meet these minimum requirements and then restart the installer.Well there are workarounds and is also documented in Adobe’s user forum, you have to look for the following code in your CS3 distribution folder.
CODE
Adobe CS3\Photoshop\Adobe CS3\payloads\AdobePhotoshop10en_US_volume
\AdobePhotoshop10en_US_volume.proxy.xml
“Server2003″:{“Exclude”:true}
“Server2003″:{“Require”:true}
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