Your issue is directly related to an input device plugged into your PC. Some devices end up corrupting the device name and it ends up breaking the XML after some time.

Send me the file InputDevices.XML in your Inner Space folder to lax@lavishsoft.com. I will use it to work around the problem so it won't happen again.

After sending me the file, make sure Inner Space is shut down and then delete the InputDevices.XML file from your Inner Space folder. Re-launch Inner Space, and it will re-generate. If I do not work around the issue for your affected device, then randomly in the future you will have the same issue again (assuming the same device is plugged in), and you can use the same solution.