Just bought the Onkyo AV Receiver (HT-R670) and was wondering if anyone knows which audio setting is the best with the PS3 since both support 2 channel linear PCM, multi channel PCM and Bitstream. Also should I use the PS3 or reciever to do the decoding. It's a 7.1 receiver but plan on using the extra channel to Bi-amp the front 2 speakers since I'm hooking 2 CV 15" 3 way speakers 5" mids and 2" tweeters in an acoustic suspension as my front right and left. Will have a powered 10" sub, dual 4" mids and 1" tweeter center channel and dual 3 1/2" mids with 1" tweeter rears. Just got my 60" mitsubishi tv and this will be my first component system (everything else has been HTIB crap) so any advice on settings or speaker configuration would be greatly appreciated. I plan to upgrade to Klipsch speakers as budget allows but with the recent tv, receiver and couch purchases that may be some time. Thanks in advance for all your help
Remember that the PS3 CAN NOT bitsream HD Audio. If you are waiting to see your receiver light up and display "DOLBY TRUE HD" or "DTS HD MA" then you are in for some disappointment. If your watching a DVD feel free to bitstream. If you are watching a BluRay movie then selecting bitstream will only give you the Dolby True HD "core" which is the same as DVD AC3. The same goes for DTS HD Master Audio, when bitsreamed from a PS3 you will only get the DTS "core" which is DVD quality audio. So for Bluray you would be best to leave it on Linear PCM, which means the PS3 will decode all of the audio and send it to the reciever as High Resolution UNCOMPRESSED PCM audio. In my opinion this is not such a bad thing. If you look around the internets, the LPCM vs BITSTREAM debate is like Pepsi vs Coke / PC vs Mac, etc. I have a PS3 connected to an Onkyo TX-SR806 so i speak with experience. I was disappointed when i first learned of this but it doesn't worry me now as i stopped worrying about what lights up on my receiver and started to listen to the clarity of the sound. i hope this helps.....