Today I ran into a space issue on my C:\ drive and the biggest space hog happened to be iTunes database. In Windows by default, iTunes database gets created under the users in “My Music” directory. In Windows 7 and Vista, this means C:\Users\<user>\My Music\iTunes In Windows XP and earlier, it is C:\Documents and Settings\<user>\My Documents\My Music\iTunes There is no direct way to move this to a new drive or a new location but as always not impossible.
To move your iTunes database to a different location:
1. Close iTunes and move the above mentioned default directory (iTunes and every file and subdirectory) to a new location.
2. When done with the copying, press and hold the SHIFT key and click iTunes icon. This should launch iTunes with the option to either Create a new library or choose an existing library.
3. Click “Choose Library”. Locat the new location for the iTunes database and click and choose the file “iTunes Library” and open.
Thats it! Everything is back and run as usual.