My AV receiver (Onkyo HT-S3200) doesn't seem to be detecting dolby digital when playing h264/aac encoded videos.
It detects dolby digital when played with the original DVD disc though (It has 2 channel Dolby Digital).
My setup is as follow:
PS3 optical out -> AV receiver -> Speakers
PS3 HDMI -> TV
I have already set options in "Sound Settings" in the XMB (checks on DTS, Dolby Digital, PCM44 and 48)
Is there a way to fix this? Or is it just a limitation of the audio codec?