To DAC or not to DAC...


I am looking to build a high fidelity audio server that would connect to a tube amp.
The amp has only analog inputs, so after doing some research it seems that the best bet in getting good sound out of the computer would be an external DAC.

I have some music in 24bit format, so USB DAC is out of question(16bit output,only), optical seems to be the way of getting bit-perfect output.

Is this scenario the best one for my needs? According to my research, yes. But I would like some input.

A good DAC can cost up to 20k USD, but I am looking for something in range of 1000USD and under. Recommendations are HIGHLY praised!

mike
vdg
If you go optical then I'd suggest (in this price range) to go with something that has a solid track record like Benchmark (hard to find used at a significant discount - kind of the Bryston of DAC's - good value for money). Unless you have to be on the bleeding edge it is probably a safe bet for many years of happy listening.
I think apogee fac with firewire connection is the best possible solution. It accepts up to 24/192 from PC or Mac. As far as quality concerned, it equals EMM Labs dac.
USB can do 24/96, it's just that many of the current crop of USB DACs are not designed for it. Bel Canto will be offering a new "add-on" to their DAC3, which will allow it to handle 24/96 from USB. I believe the Wavelength USB DACs can handle the higher rez files also.
How about any TUBE-based DACs? I have not seen any good reviews about them..I wonder why.