Upgrade for TrueHD and 5.1= Better sound or worse?


Hi, I am a newbie that is just putting together my first system.

I have a pair of Usher BE 718's, a Squeezebox Duet, a Tube Audio Design Dac and Preamp and Tube Audio Design (actually solid state) monoblocks.

I will likely purchase Anticables, Lessloss power cords and GIK Room panels.

I am also in the process of buying a Blu ray player. I have an old Harman Kardon AVR 230 from 2004 (no HDMI).

First of all, how would True HD sound on a 2 channel system with the Blu ray player doing the processing? Would it still be a "HUGE" improvement?

I am thinking about the following upgrades:

Onkyo receiver that processes TrueHD through HDMI (about $300 either used or refurbished)

I added the cost of 6 pairs of interconnects-- even through Blue Jeans, at least $190. May as well just spend the extra $100 and get it through HDMI.

That is unless i can just use 2 channel analog outs to my pre and get 90% of the improvement (don't neccessarily really need the surround sound, but also thinking about it.

Purchase rock bottom cheap surround speakers, center and sub. Thinking like about $100 per speaker used, or about $400 and all Blue Jeans speaker cables.

Will use only for home theater/Blu rays. Will this be a huge degradation in sound quality, or will the surround sound and Onkyo receiver be a huge upgrade?

If i use 2 channel, all music goes through the DAC. Would this be better sound using the 2 channel analog outs, or better to use an Onkyo receiver with monoblocks connected to the pre-outs.

Also will buying $100 speakers for surrounds, center and sub a waste of money?

Cost of upgrade:

Onkyo receiver $300
4 speakers $500 ($400-$425 plus shipping)
3 sets of speaker cable, 1 subwoofer cable $110

total cost: $910
minus cost of 2 pr interconnects $60(Blue Jeans) or $200 (anticables)

$850

Thanks for your help.
indiesound
On second thought, the Usher center speakers are rated 4 ohm. That is usually not a recommended match for a basic AVR. Higher end AVRs can drive 4 ohms no prob but look into the particular Onkyo you are considering.
Thanks for the help Edomusica.

My primary motivation here is the upgrade to the Lossless codecs.

The big question i really have is how it would sound if i just connected 2 channel analog outs from a Blu ray player, and if 2 channel TrueHD is a huge improvement over regular DVD 2 channel sound.

That said, i've never had a surround setup and am trying to see if it will provide a large upgrade that can be done at a reasonable price. My concern was whether buying cheap surrounds would "ruin" the sound.

It sounds like i would be best off not purchasing a center. But i don't know how a receiver would do 4.1.

I am thinking about the Onkyo 606 or 706, i have seen it refurb or here on the Gon for about $300. It seems like a decent receiver and about the same or better than the HK 230 receiver that i bought new for $379 in 2004. I have used the HK to drive the Ushers and they sound ok.

However, with 4 channels, i'd probably need more amplification, and my ss monoblocks are rated for 185 watts at 8 ohms and 200 at 4 ohms.

And finally, I believe the Ushers are 8ohm speakers and i guess less than $200 per speaker is a more realistic budget.

Thanks!!!
On the 4.1 question, you would use Phantom center mode or something like that. And for movies, quality of surrounds not critical at all. Mostly effects, foot steps, bullets richoceting, crowd noises, etc.
Also will buying $100 speakers for surrounds, center and sub a waste of money?

Frankly yes. It kind of defeats the effort to get trueHD surround sound, which won't be all that different from regular Dolby Digital or DTS. I think you will be disappointed with it. FWIW I'd stick with your AVR230 and just feed it digital out of the BD player and get matching used 718's and a sub to make a 4.1 system. Alternatively keep saving and then upgrade your mains and move the 718's to surround role. Use Phantom for center channel and keep the speakers slightly closer together than you might do normally - and you'll be fine for one or two listeners in the sweetspot. (IMHO skimping on speakers in a surround system will leave you dissappointed and you'll want to upgrade again only too soon).
Ok, just realized that i only need 3 pairs of interconnects, not 6 pair. And that a center channel is really not necessary for 1 or 2 listeners.

So which is true? Swampwalker says that surrounds are for non critical sounds. Whereas Shadore recommends i spend almost $2000 on surrounds??????

So $100 is probably too low. And i meant used, on a really good deal. I could get decent used sub for less than $300-$600, (if i get a REL, could use as double duty in 2 channel.) and about $300 for a pair of surrounds.

Seems like i could probably get by without the HDMI receiver upgrade.

Anyone else heard blu ray True HD with only 2 speakers through analog outs by the way? Thanks!!