Jure -

You have me a bit confused. Do you have a DVD drive in your PC now? Or, are you intending to chose between a PC based player, and a set-top player?

I'm using Creative's Encore kit, and connecting a coaxial (RCA "bullet" style) cable to go from the SPDIF Out jack on the Live card to my Yamaha receiver/decoder. The Creative Labs software will allow the digital (AC3) signal to pass through the card to the receiver this way.

Because you don't say how you're playing DVDs now, I can't be sure I'm giving you the right advice.