Starting a computer based system


I have a CD based system (Naim 3.5). Also I have a MacBook and wish to use it as a source. For my remote can I use an iPad? Which software? Which interconnect? Which DAC for under $500? Would DAC Magic be okay?

Many thanks
mendota9811
Colorfulpellets, Explain more about your setup. How can you use your dedicated hard drive without a computer? Don't you need a CPU, operating system and the Logitech software to communicate between the Squeezebox and the hard drive?
If you are committed to the Apple platform, go here:

http://www.empiricalaudio.com/computer-audio/, as well as the Computeraudiophile web site I recommended earlier.

In short, use Amarra in lieu of iTunes, rip to lossless AIFF codec and use a high quality USB cable or SPDIF on RCA if you Mac accomodates it. The iPad info above is spot on. The DAC Magic is a very high value DAC at the price point. It only does 16/48 on USB, though, if that matters to you.

Full disclosure: I have a DAC Magic for sale on Audiogon with the outboard Pangea PS. I am selling only due to stepping up in the DAC world - see my related post in the digital forum. No issues or complaints with the DAC Magic for what it is.
i've had a different experience than colorfulpellets--i was unable to get my squeezebox to work properly with just an external hardrive (no computer), as i originally envisioned. (it did work fine with a flash drive or sd card, which contain much fewer files). i spoke to logitech and read their forums and was advised that the sb isn't optimized for use as a server with a big external hd without a computer, although it'll handle a small capacity hard drive.
77jovian, the Squeezebox Touch has an internal server (I think it is called TinySB) that works very well with a powered external hard drive (can't use a USB-powered drive; the bus on the Touch does not output sufficient voltage to drive a big ol' 3.5" disc). Some folks have had issues with this configuration, but not I. The key is to ensure that your hard drive has no partitions or bloatware on it; format it (i.e. strip it down) and then put one folder with music files on it. When connected, the Touch will install it's own driver, scan the folder, and you're off the the races.
Thank you to everyone for the information. Will stick with the MacBook and use the Maverick Audio TubeMagic D2 DAC.

It may take some time but I will post a review when finished.