WSUS: How to change the location where WSUS stores updates

You accomplish this move with the movecontent command of WSUSutil.exe, a command-line tool that is copied to the file system of the WSUS server during WSUS Setup. By default, Setup copies WSUSutil.exe to the following location:
WSUSInstallationDrive:\Program Files\Microsoft Windows Server Update Services\Tools

You must be a member of the local Administrators group on the WSUS server to use the movecontent command of WSUSutil.exe, and these operations can only be run from the WSUS server itself which must be a 32-bit platform.  You must also create the new path for local WSUS update storage prior to using WSUSutil.exe.

The movecontent command takes an optional -skipcopy parameter which enables you to change the location of local WSUS update storage without copying any files. To change the location of local WSUS update storage complete the following steps:
1. Click Start, and then click Run.
2. In the Open box, type cmd, and then click OK.
3. At the command prompt, navigate to the directory that contains WSUSutil.exe.
4. Type the following, and then press ENTER:
wsusutil.exe movecontent contentpath logfile [-skipcopy]

For example, if D:\WSUS1 is the new path for local WSUS update storage, D:\move.log is the path to the log file, and you wanted to copy the old files to the new location, you would type:
wsusutil.exe movecontent D:\WSUS1\ D:\move.log