I think it is the only way to get the
lossless sound off a blu-ray digitally. Also, no SACD
players output their signal digitally except on HDMI.
The future is DSP. Roomperfect, Dirac, just the beginning of
the future.
Sorry sport, initial Blu-ray players had 7.1 analog outputs
to obtain lossless sound into legacy, non HDMI equipment.
My friend still does this into his non HDMI Sunfire HT
system. Further, I happen to own an old Pioneer DVD player,
DV578A (in mothballs), that outputs 5.1 SACD via analog
outputs. In fact, you may not know this but SACD was out
long before HDMI.
But if you're actually talking about outputting the signal
from the player, digitally, then yes, I suppose you need
HDMI. So it can only converted to analog somewhere else
down the chain.
Better be careful or you'll date yourself as a newbie with a
digital agenda. Why I'll bet you also believe that all amps
sounds the same too. Have a good one pal.