I have a Roku Soundbridge, not Squeezebox.
Hooking that to a relatively low cost mhdt Paradisea tube DAC made a huge difference.
I suspect the same would be true for the Squeezebox using a good external DAC.
Try it with the DAC you have and listen. You have nothing to lose.
If the sound is still not what you're looking for, you can try other DACs. Benchmark and mhdt tube DACs are two radically different sounding ones that are both relatively affordable and would be a good indicator of what is possible with an external DAC.
Hooking that to a relatively low cost mhdt Paradisea tube DAC made a huge difference.
I suspect the same would be true for the Squeezebox using a good external DAC.
Try it with the DAC you have and listen. You have nothing to lose.
If the sound is still not what you're looking for, you can try other DACs. Benchmark and mhdt tube DACs are two radically different sounding ones that are both relatively affordable and would be a good indicator of what is possible with an external DAC.