How can this work?

I read through this kickstarter page and was quite incredulous. (http://www.kickstarter.com/projects/cloud-guys/plug-the-brain-of-your-devices)

How can this technology make all of your drives connected in a "total space" type of deal, when it supposedly backs up all of your files so that they can't be "lost".

When I read this it sounds like it turns your files into a torrent and spreads the data across your drives. When they claim that you can drop your laptop in the pool, and still have your data safe, this doesn't work then, correct?

So if that's not how its stored, is each device backed up on the other devices so that if one fails the data is still safe? If that's how it works, wouldn't your total size of your drives be limited to the smallest drive that is connected to the network?

Just looking for an explanation, it sounds cool, but it sounds rather impossible to meet their claims.

If you go to their website it shows the thing in action.  The way it looks is it is a NAS that is cross platform accessed.  The entire thing appears to attach to an external hard drive.  So the only limitations is on the hard drive that you connect this too, the transfer speed of the connection, and the transfer speed over the internet if you want it to go out to the internet.  It also looks like that you send documents using a contact list to other people who also have this.  It might also be possible that an individual computer can work as this in their system.