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Cambridge Soundworks makes a model with optical digital outputs. No clue if there are any restrictions on them, though. On a higher end, Yamaha makes several AV receivers that handle HD as well. Again I have no knowledge whether or not the digital outputs are crippled in any way.

I never really got the whole 5.1 thing for my computer. I have a $50 pair of Cambridge Soundworks speakers with sub here, well they're 70 now, but they were 50 when I bought em 2 years ago on sale. Anyways, the speakers sound fatastic, they get fairly loud, with decent bass (although there's a few songs they HATE at high volume levels :), and that's enough for my computer.

I have the thousand some dollar 5.1 system downstairs hooked up to the tv and dvd player. :) Also a Cambridge Soundworks system, with a nice Harmon Kardon amp. For anyone looking at getting some CSW equipment, check out ebay, that's where they sells all their refurbs, and also where I bought most of my speakers, and they come with the same full warranties and satifaction money back guarnatees all their new stuff does.

Spending gobs of money for some chincy PC speakers with a bogus power rating to play whatever PC game in 5.1 just seems dumb to me.

3 years ago when I bought my computer I got 4 sattelites and a subwoofer to go with my SBLive! sound card for 80 bucks. To this day the only parts of my 3 year old computer that still kick ass are my drives and my sound. My friend recently got a new computer and he liked my sound system a lot so he got this to go with his SBLive. From listening to it myself I can safely say that it is absolutely an awesome sound system at an incredible price. If you set up your configure your audio software properly and have a decent sound card these can be just as good as a low-end home theatre system, if not better.

I'm guessing you find 128k MP3s 'acceptable' quality. Personally, to be tolerable I only generally rip to 160-170 VBR MP3. I could go bigger but it starts to get to ridiculous sizes. For my ears, it sounds LOTS better.

Now contrast that with an Ogg Vorbis file encoded at around 140k. Amazing differerence. By going from 128 to 140, you acheive an even greater increase is sound quality than taking an MP3 from 128 to 170+. But to me Ogg is noticebly better than MP3 even at 128.

Personally, I find the bass (kick drums) to sound a lot tighter. The sound spectrum seems to open up, in comparison the MP3 sounds muffled. MP3 steals some impact from the music, sort of how just slightly blurring a jpeg can acheive higher compression. The MP3 sounds blurred to me. Ogg sounds tighter, sharper, and more clear. For reference, I primarily listen on a Cambridge Soundworks Digital using w/SPDIF inputs.

Music listening is very subjective, but theres just no doubt that Ogg Vorbis does represent a much more efficient encoding algorithm.

I agree! Except that my price point is - or should I say was - $2K. I got the Cambridge Soundworks MovieWorks 5.1 with a Marantz SR5000 receiver. (Don't worry, I have no relationship with CS other than as a happy customer.) It is a $2K system that is currently on sale for about $1500.

It sounds better than any movie theater I've ever been to, except for the Sony Metreon theaters in San Francisco.

Plus, I'm free to drink a malted barley beverage while I watch...

I have this setup in my living room, which is about 25'x38', and it is a wonderful sounding system that didn't cost me that much (about $600 at Cambridge Soundworks.

I know it's not "The Best" system, but definately decent for the budget.

Though I doubt they sound as clean as my Cambridge SoundWorks FourPoint speaker system.
For how small they are, they can really put out allot of sound.

----> FourPoint