@bombaywalla -- much thanks for the synopsis. I'll need to read it more closely. But the quick gist I'm taking away is that the number of bits relates to a refinement of the original sound through noise (hopefully noise only, not actual sound - I don't understand how noise is relegated to the least sig bits) reduction and/or interpolation during playback.
The benefit of non-44KHz sampling rates in the player still eludes me unless it's related to the interpolation of points from the data on the CD. But even then, it seems it would not necessarily make the sound 'better' only perhaps slightly different. It's filling in the gaps between data points for what may already be a practically smooth curve.
Putting all this together, it seems like, to me, this is all a matter of subtle refinement intended to better replicate the original sound, not necessarily to make larger, obvious improvements.
My fault -- 'better' is a very subjective term. And thinking about it, and this may be very naive and will probably change over time as I learn more about audio, for now 'better' means to me that it noticeably more accurately replicates the experience of a live performance as though I sitting 10 feet from the stage, front and center (which probably means I need to imagine quite a bit if they are just mixing various studio tracks).
Leaving 'better' aside, while I perhaps see the theoretical benefit of 24/192 players, I'm still not sure if I'd be able to hear any difference between my Sony and a more modern player given my system and room.
Regarding the suggestion of buying a DAC instead of a whole unit, I have a bunch of questions swimming around. But perhaps it'll unfold if I can get help with a stupid, basic one.
Taking for example the Cambridge DAC Magic box and their 540/640Cv2: Is the design and components in the DAC much better than what is in whole CDP? Or is it basically the same thing less the transport and the laser unit? I don't really understand the DAC -- I get the usage where you connect it to a DVD player or a computer to get better audio. It's just not obvious to me why it's better to spend more to get the DAC over a 540/640Cv2. To add to this confusion, it seems that Cambridge highlights their transport for their units -- are transports significant in CD playback? If I went with a DAC, would my Sony be lacking as a transport?
I know, stupid questions, but much of this is very new to me.