hmmm. i find this all quite interesting. the xbox has very limited functions as far as audio adjustments etc, however my Pioneer SD DVD upscaler has many. so if using optical i should have it set to bitstream?

i recently bought a bunch of rca's so i could listen to sacd's and dvd-audio's (now good luck finding one locally that i would want to listen too!), so i now have the multi channel out option for my dvd player and reciever. do i have to set the dvd to pcm to take full advantage of the multi channel analog out?

i have only compared by switching inputs back and forth on my reviever (standard to multi channel). i didnt find any improvment in sound using multi channel, in fact i prefered the standard sound via the toslink, i think due to the fact my reciever is not doing ANY processing when accepting the multi channel input....?