I am using the Pioneer 440, which uses the same DAC. I have switched back and forth and the first thing I can say for sure is that using the Pioneer DAC and 5.1 inputs requires a considerable increase in volume, the output signal from the DAC is not very strong. Once you volume match (maybe a difference of 5 on the dial) then I would say that the best sound I have gotten is by using the Outlaw's DAC and setting my speakers to large for CD listening (they go comfortably down to about 38 Hz, but I do switch them to small and use a sub for movies). When I switch to this configuration the sound has more dimension to it than in direct mode. I don't know at all if this is true for other DVD and Cd players and would like to test this with a good Cd player like an Arcam to see how this difference holds up.
_________________________
"Art is not a mirror, but a hammer."