Why a separate DAC?

It's the AVR360, lowest wattage in the bunch from Arcam, at 75watts per channel (small apt). All of the circuitry and processors are Identical across their entire AVR range, only difference I can tell is wattage. As for speaker configuration, I have two KEF R300's bi-amped, with their slim center. No rear or sub. Cables are Signal.

Running music through it, I just Airplay over Appletv, which I think is my weakest link, which is why I've been investigating a DAC with Airplay. I will try burning a CD and playing through the BR as an experiment. Kind of curious if that will affect anything. HDMI can transport more data than SPDIF as far as I know, so I shouldn't lose signal there. I'll reply back if it makes a difference.

As for the DAC part - I'm keen to have something easy to use with Airplay or Bluetooth, but prefer Airplay.

Thanks for replying back!

Your weakest link is your source material. I speak from personal experience. I most frequently listen to spotify through my Sonos, which is similar in sound quality to airplaying itunes music. I hooked my Sonos to an Audio Research DAC8 (pretty high end DAC)margin difference if any at all. The bottom line is my music source (like yours) is not going to sound any better with a new DAC. If you are looking for a sound improvement it should start with your source material.

Bob - just saw your other post about room correction, etc. my AVR actually isn't using room correction because it's not supported in bi-amp mode. That said the input is via HDMI, so it is surely digitized going in.

Interesting question though if the DAC is actually being engaged though since room correction is not happening... I'll check with the manufacturer. Appreciate all the feedback :). Hopefully I can contribute something back!

Thanks Skyflyer - I know of the Sonos stuff, and think we have a similar situation on the content issue.