PSM (1.10.51) ---> Ethernet 100 ---> PS3 (2.76) ---> HDMI ---> Onkyo 607 amp ---> HDMI ---> Panasonic 50" plasma + Tannoy 7.1 speakers
I recently installed an Onkyo 607 which can decode all HD audio formats. Previously I had a Sony amp that did only Dolby 5.1 and DTS 5.1 via optical. The PS3 + Sony performed as expected in that Dolby 5.1 was sent to, and decoded by, the amp.
With the Onkyo installed however, even if I set the PS3 to output bitstream over HDMI, it always converts streamed Dolby 5.1 to LPCM 5.1 and in doing so seems to lose some quality. If I manually set the sound options on the PS3 to exclude HD LPCM then it bitstreams Dolby 5.1. If I load a real DVD or BD on the PS3 it sends Dolby 5.1 as a bitstream so the issue only arises when streaming from PSM. The problem is that the audio converted from Dolby 5.1 to LPCM 5.1 by the PS3 lacks the fullness and 'bite' of the original Dolby.
I know this isn't strictly a PSM issue but has anyone else noticed this behaviour and/or found a way of preventing the Dolby 5.1 to LPCM 5.1 conversion?
PS: LPCM 5.1 from a BD m2ts file streamed via PSM works perfectly with very responsive seeking and jumping.