As far as Inner Space goes, nobody has been banned for anything related to Inner Space in any game besides World of Warcraft... and for that matter, nobody has been banned for multi-boxing in World of Warcraft with Inner Space (and there's probably only a handful of people who currently use it for anything else in WoW). In fact, people report me (or at least tell me they are reporting me) all the time, and I tell them each time that I'm not doing anything against the rules and where to find more information on multi-boxing in WoW (the UI & Macros forum on worldofwarcraft.com). I even tell them that they can see my multi-boxing videos on the front page at lavishsoft.com. My WoW accounts are in good standing.

I also have a SOE station pass, and I have never been banned or suspended from a SOE game, and believe you me, they know I exist. All of my accounts in all games are using my real information, some even using my email address lax@lavishsoft.com.

As far as SWG goes, not many people have actually used Inner Space with SWG in the first place, so I wouldn't expect SWG players in general to even know what it is (or most MMO players in general, at that), let alone offended if they walked up and asked you what specific software you are using to multi-box with. As far as people in general are concerned, it doesn't matter what software you're using, and they probably havent heard of keyclone either. I would say that the reputation of Inner Space is the least of your problems -- if a random player doesn't know what you're doing, they are just going to assume that you are somehow cheating anyway.

But, it is of course up to you what you want to use and how you want to rationalize it.

That said, I can't speak at all for the input emulation in Keyclone, but using ISBoxer you should be able to set up keyboard/mouse broadcasting (Repeater Profile) and/or Key Maps that work on the background windows.