Inxstor, a place-shifting concern with only two employees, has just secured £600,000 ($1.2 million) in funding from Braveheart, a Scottish venture capital group, and the Scottish Co-investment Fund. The funding is in addition to a £400,000 seed investment that the Fife, Scotland-based company had last year. Inxstor will use the cash to develop new products and expand its technical team. The company, spun off in 2006 from Infinite Data Storage, expects to launch its product in the first quarter of next year (its site says it will be premiered at CES in Las Vegas), and already has a memo of understanding with Pace. It’s talking to carriers and hopes to have a retail operation, according to The Herald.

SEE ALSO: Media Placeshifting Firm CMWare Gets First Round Funding

Inxstor is, of course, not the first company to develop place shifting products. Others include Sling Media, Orb Networks, Sony and CMWare. But Inxstor’s unique selling point is that it claims to be the only one of these that allows content to be accessed remotely in a secure way, writes the Scotsman. That’s an attractive idea for content companies, who have bristled over how DRM is affected by place-shifting, but have not attempted to take any legal action over such services as yet. (Blake Krikorian, the CEO of Sling Media, has said that this is because there isn’t really a legal issue with the service.) They’re competing for what Inxstor CEO Tony Combe says will be a $700 million market by 2011.

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