Another way of asking the question is why, if I can ship data 100% reliably all the way around the world at data rates MUCH higher than is required for redbook CD playback and recreate the data perfectly at it's destination, can't I engineer a solution to read a CD and transfer that information 100% correctly to another chip in the same physical box? This is especially confusing because I can turn around and do an apparently analogous operation on another electronic device that is cheap and non-optimized.
I've often wondered if high-end transports employ filtering algorithms on the digital data stream they produce. It would be very possible to read the data from the CD, apply a filtering algorithm to the bit-stream, and produce a 16-bit/44.1Khz compatible stream that is intentionally different from what is on the disc. With well executed filtering, you could certainly change the sound, possibly in a way many would prefer. I've never read a reference that explicitly says somebody's transport does this, but I don't see any reason why somebody couldn't to produce a distinctive sound. -Kirk