The Apogee mini-dac seems to get great reviews, but I don't need the dac and there's no way I'm paying $1000 for a digital out.
Just a correction, and perhaps it is a misuse of vocabulary on your part: The Apogee unit is not a digital out. It is an actual DAC (digital to analog convertor) that happens to have a USB input option. Your computer itself is the digital out in whichever outlet you choose to use. In the case of the Apogee, the digital output is the USB connection.
The M-Audio card you are both not happy with is actually acting as the DAC if you are feeding it straight to your amp or preamp. I don't imagine the DAC circuit in those cards is that good. It sounds like the card may also have the option of feeding a digital output to an external DAC as well. The original poster never responded as to whether they were feeding the signal through a DAC, and if so through what type of connection and which DAC. Or, are they just feeding the analog signal from the M-audio card into their amp, in which case they are using the M-audio card as the DAC, and I would certainly understand that may be inferior. I'd pose the same question to you as well; if you are using the digital out, what are using for a DAC to convert it, and what is the means of connection to the DAC? I'm just trying to understand where the weak link may be.
Marco