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There is no AC3 content on iTunes, only AAC:rolleyes: The AppleTV can not convert AAC to AC3, because of a hardware limitation. Go read the first reply to this thread. It is funny, people hear seem to ignore the truth big time when they don't want that answer.

Um... no? The AppleTV can't output ac3 because Apple hasn't licensed it from Doby. The original xBox could encode 5.1 ac3. You're trying to tell me that the AppleTV's super-efficient, low power Dothan is weaker than xBox's ghetto rigged Pentium 3...? Yeah, okay... And an optical output is an optical output. The Airport express can output 5.1, if it's playing a wav file that closely mimics actual ac3 content.
 
Don't know if this would work, but have you looked at the MPEG player by squared5. they have away to convert .avi to mp4, but I can't remember the audio output. Or drag the .avi to iMovie, but I don't know if that will export with 5.1.

thx for that. i'll try but doubt it will. :/ I've read on another forum i should try VisualHub too.
 
This thread is still confusing... attempt to clear it up

Maybe it's good to start with the basics again:

To get multichannel sound into content files, you have basically 2 options:
  1. Encode the channels into a proprietary compressed data stream (AC3, DTS, AAC, WMA) and let the player hardware or software deal with it
  2. Provide each channel in a separate uncompressed stream - which will generate huge files but has very high quality (HD DVD and BluRay can and do use this option)

So far so good. Next you will need to get all channels in the content out of your player device. Here you have 3 options:
  1. Use a digital connection to carry a compressed data stream (AC3, DTS - AAC and WMA output is rare) with all the channels encoded into the stream
  2. Use a digital HDMI connection to carry each channel in a separate uncompressed stream or carry all channels in a compressed data stream (same as #1)
  3. Provide one mono analogue connection for each channel

To get multichannel sound into a receiver or amplifier, the same 3 options are available:
  1. Digital input of compressed data stream with optical or coaxial cable
  2. Digital HDMI connection, separate uncompressed streams or same compressed stream as #1
  3. One mono analogue cable for each channel

This is all very straightforward, especially if you have a compressed stream in your content and want to carry it to the receiver with no alterations. Watching DVD's on a home theater is just that - the receiver decodes a data stream that comes straight from the DVD.

The fun begins when you want or need to convert separate channels into a compressed stream or vice versa. This will always mean encoding or decoding and licensing issues.

With these basics in mind, you can easily see where the possibilities and limitations are for the Apple TV:
  1. Carrying a compressed AC3 or DTS stream that's present in the content over the optical digital output to the receiver is easy. It's just hauling bits from one end to the other. Playing a DTS encoded WAV file proves that.
  2. Carrying a compressed AC3 or DTS stream that's present in the content over HDMI depends on whether Apple fully wired its HDMI port and can route the bitstream to that port. If yes, then it's no problem.
  3. Outputting uncompressed streams over HDMI requires either content with separate streams (unlikely) or content that the Apple TV can decode (AAC should be easy). This puts a strain on the CPU to decode it.
  4. Outputting a compressed stream in either AC3 or DTS format from uncompressed or differently encoded content (AAC) requires on-the-fly encoding which will need a license and is CPU intensive. Separate hardware is usually required.
  5. Because the Apple TV has only 2 stereo analogue ports, hooking it up over analogue cable is limited to stereo.

The ALC885 chip in the Apple TV can output 7.1 channels, but only if it gets the connectors to do it. On the AppleTV multichannel analogue is impossible due to the lack of connectors, so the only option for uncompressed multichannel output here is the HDMI port. On-the-fly encoding of a compressed stream seems unlikely to me.

Apple usually pushes standards to their limit, so I wouldn't be surprised if the AppleTV can actually run 8 (7.1) PCM streams over a well-implemented HDMI port. But they will need to decode any compressed format first and you will need a very modern receiver with HDMI inputs to listen to it.

The answer has to come from Apple, as we have no way of knowing what the HDMI port on the Apple TV is actually capable of. Do they list adherence to the HDMI spec anywhere (1.1, 1.2, 1.3)?

The only other option is the USB port. Apple could make a simple USB dongle that provides the necessary analogue outputs, just like the many dongles you can already buy for PC use.
 
so, knowing all of this about the 5.1 channel back and forth; i think it's safe to say that if you hook the appletv in it's current version to a capable receiver using toslink (optical out/in), then you're golden and will get that 5.1 surround sound fun. provided the source content contains the audio stream as 5.1.

yay, i was going to get an old carpc (windows based) or setup linuxmce/mythtv to act as my htpc (really only using it to stream content from my macbook pro and attached 500gig drive), but instead, i think i'll go with the appletv since i really don't care to have 2 repositories of data to manage. couple this knowledge with the other, ahem, "hacks" available for the appletv, it looks to be a pretty solid choice (that is if you don't mind 720p being the highest video output).

i want to personally thank the OP and everyone that commented with personally helping me make my buying decision even easier.
 
um...MP4 plays just fine with AC3 and DTS.

For your information, I've got an entire playlist of DTS-encoded Apple Lossless .mp4 files sitting in my iTunes folder, connected with optical out to my receiver. These came mostly from DTS 5.1 Cds that were mildly popular back when DVD-A and SACD first showed up.

itunes doesn't molest the files if you turn the software volume to 100% and turn off sound check/cross fade,etc. I listen to discreet 5.1 music straight from itunes via passthrough. AC3-encoded .mp4 audio files also work.

the aTV doesn't allow the passthrough. Which means that it is molesting the signal somewhere.

hacking efforts have shown that it's a software thing, not hardware.

apple could easily wrap a lossless AC3-encoded ALC stream into their video downloads. It would increase the file size, but not THAT much. AC3 can be pretty compressed as it is...like 200-300kb/s.
 
For everyone's AC3 woes, I think this should work.

You would have to hack your AppleTV to place this file in the proper folder, but once done should handle Dolby D EX and more. I use this on my MacBook Pro in conjunction with VLC to play all kinds of formats flawlessly.

http://trac.cod3r.com/a52codec/

jon
 
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