Microsoft has unveiled its Windows Home Server at the Consumer Electronic Show in Las Vegas.

The device allows consumers to centrally store and share all their digital media including photos, home video and TV recordings.

The appliance runs an adapted version of Windows Server 2003 and uses Raid storage technology to provide high uptimes. Windows Server and Raid storage are typically deployed in enterprises rather than in consumer applications.

Microsoft chairman Bill Gates showed off the device during his CES opening keynote on Sunday.

"Windows Home Server is for homes where you've got multiple PCs or Xboxes in cases where you want to have your storage available at all times to the different devices," said Gates.

Microsoft worked closely with HP, which unveiled its HP MediaSmart Server running the new Microsoft software. The device is based on a reference design from chipmaker AMD. Intel also unveiled reference designs. 

The first devices are scheduled to ship by the third quarter this year and will cost $500 to $1,000.

In addition to backing up and streaming digital music, photos and video throughout the home, a Windows Home Server device can automatically push fresh content to mobile devices every time they connect to the network.

It also allows parents to regulate the content that can be accessed on each computer on a network, and could be expanded to home automation tasks such as monitoring a security system or acting as a telephony control server.

As Windows Media Center Edition becomes more popular, consumers will find a need for a media server that backs up their assets, according to Rob Enderle, an independent industry analyst. 

"Media Center Edition has one inherent flaw," Enderle told vnunet.com. "Little Johnny could be playing a game and catch a virus on the same systems where you store your digital photos and media."