PCM or Bitstream

I suspect that the reason it seems to make no difference is that there is none in your setup.

If you are using the digital output to the preamp/receiver, this option is to choose whether it is going to output DD and DTS along with PCM. You will either get an output or not and it will make no difference for PCM.

If you are using the analog outputs to the preamp/reciever, the setting is irrelevant.

I believe PCM is the default for Audio, 44.1khz/16bit.

While Bitstream is a multichannel (Dolby Digital or DTS) format available from encoded Discs, such as movies or concert DVDs.

Just guessing, but, I bet if you select PCM only that the DVD player will downmix DD/DTS(multichannel) to PCM(2 channel). Select PCM and put a movie in and see what happens. Is it 2 channel only (stereo)?

On my DVD player, I use have bitstream selected with the highest output. 96khz/24bit methinks. When I playback an Audio CD it always defaults back to the PCM standard of 44.1khz/16bit.

If you are going to use the DVD player for movies and concert DVDs in a multichannel system I suggest Bitstream. If you have a 2 channel system only then PCM is fine.

Ha! In light of subsequent answers, mine shows just how familiar I am (not!) with multichannel, HT, pre/pro's, and all that jazz. Maybe one day I'll even buy myself a DVD player and join the modern world...Right now, I still think my naivete is more charming than it is pathetic... :-)