I have both connected. I use bitstream, as mentioned, for movies, to get full 5.1 surround. But I have found that many DVD concert videos sound better in 2 channel using PCM, than Dolby Digital.
I had the same question. I have a Panasonic RP-82 that can do the decoding, right now I'm connecting it directly to the TV via a couple of RCA's, so, should I set it up PCM or Bitstream ?
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