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Re: I have the Pio 1016, do I need the analog outs on an HD-DVD player?
Digital outs vs Analog outs... Generally speaking, you want to use the better of the two DAC's (Digital to analog converter) for signal conversion.
In many cases, the DAC in the receiver is superior so it is beneficial to feed the pure digital signal to the receiver for conversion. In this case, the DAC in the HD-DVD player is probably more capable of converting the upgraded HD Audio track than the receiver. However, from what I have experienced, the difference can be be slight and you end up with quite the snakes nest of wires to go this route.
Once recievers are capable of HDMI 1.3, we'll be back to having better DAC's in the receiver (hopefully) and 1 wire.
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