Cambridge Audio DAC questions


I am looking at the D500 se and have got some questions about the DAC.
I have been told that the DAC is actually 1 bit and it is filtered to 24 bit. This is confusing - can anybody clarify this.
I am also looking at the Rotel 971 but there is a price difference and the fact that Sam Tellig recomends the Cambridge.
I would appreciate any comments or opinions.
My system is under construction but currently consists of Paradigm studio 60's and a B&K EX-442 amp.
fangio
The Rotel 971 has dual mono 20 bit Burr Brown PCM63K chips and also the Pacific Micro HDCD decoding filter.
I sold both the Crystal Semi and Burr Brown product lines for years. The PCM63K is the best DAC that's been made to date, but expensive. Texas Instruments acquired Burr Brown a year ago for over $7 billion, stupid amount given Burr Brown's sales were sub $500 million. Back to the topic at hand. If you like a more "analog" sound then all things being equal go for the product based on the PCM63K over any other DAC's. Make sure it's the K version, they also sell lower grade versions.
The Rotel 990 and 991 CD players also use the (dual) mono PCM63K Chips. The 990 is better than either the 971 or 991 because of the studio pro quality aluminum transport. There is one on eBay right now; ends on January 2nd; item number 1313693188
I just want to say I appreciate all the feedback.
I am still debating - but the D-500se is gonna get an in home trial. I'll let you know how it goes.