I've got a 970 and a 7125 and would like to use a DAC with my Squeezebox Duet, any suggestions around the $500 range?
Thanks.

I've owned a Channel Islands DAC (VDA-2) for a very short while that is around your price range.

There was a slight improvement, but decided my SB3 was doing fine by itself.

I don't have anything else to compare it to ouside of the SB3's internal DAC.

Thanks. I've got them on my list. Just want to make sure it's worth the investment.

I have a Cambridge DACMagic.

I auditioned a SB3 for a week or so. Like the above poster with his VDA-2, I did not find that the DACMagic provided a substantial improvement over the Squeezebox's internal DAC.

The DACMagic makes a big improvement, however, when I stream music via MacBook > Airport Express > Optical out to DACMagic > analog out to RR2150. This is no surprise, as the AE's DAC is pedestrian.

It's also a noticeable improvement over the RR2150's USB input, FWIW. Hope that helps somewhat.

I also appreciate the comments on DACs. I'm building a two channel system starting with some Selah Audio MTM speakers. I expect to buy a RR2150 so I can take advantage of its bass management and add a sub. I have an oppo 980H that I can use for CDs but I wasn't all that impressed with its stereo capabilities (unlike my Oppo BD-83) hence the desire for a DAC. But the real advantage of the RR2150 is its USB input for use with my Mac. How big of an improvement was the DAC Magic over the RR2150's USB DAC?

Well, for what it's worth, I'm currently using a much cheaper outboard DAC option in lieu of the RR 2150's USB input, but it's clearly an improvement.

Back in January, someone in a Stereophile forum suggested I try an M-Audio Fast Track Pro, a pro-audio recorder interface designed for musicians that has a USB input. Lists for $200, but I found an open-box new one for about $130. The RR 2150 is my main/only source for 2-channel audio, so ultimately I couldn't see spending as much on an outboard DAC as I did on my receiver––though I definitely considered it. Nevertheless, the music on my MacBook has been bumped up a notch.

I hadn't used the RR2150's DAC in quite a while, so I went back and experimented a bit.

The RR2150 DAC does an acceptable job in faithfully representing music. It's certainly adequate and is a great convenience -- it's one of the reasons I ended up with the RR in the first place. Once I decided to go wireless, however, I needed a solution to improve the quality I was getting from Airport Express, which is a great and virtually painless appliance that happens to have a very average DAC -- less impressive than the one in the RR.

There is no question that the DAC Magic does a better job than either of the two previously mentioned DACs. Highs are more precise, lows are lower, stereo imaging is a step up.

Plus, and I don't really know how to technically explain it, but the DAC Magic removes a lot of what I consider to be "the MP3 sound" -- the sort of hollowness experienced in lower-quality MP3s, like you're listening to music with a tin can to your ear. I burn everything to either 256kbps or Apple Lossless these days, but I still listen to the occasional lower-quality download and the DAC Magic makes previously painful tracks listenable.

Personally, I wouldn't hesitate to purchase the RR2150 with the intention of going USB from your Mac. I was quite pleased with it before I moved to the wireless setup.

Hope that helps.

Thanks, Olias. You have all the components I'm considering and I appreciate your insights. I have recently added an Airport Express to my HT and feed it from my iTunes library on my iMac. I then control my library with the Remote app on my iTouch. In this setup I use my 990's DACs after feeding it with the optical output form the Airport Express. This arrangement sounds very close to my OPPO using its internal DACs with the OPPO having the advantage. The optical output of the Airport Express has me rethinking my two channel system which will be located in a different room. I may be following the trail you've blazed with the Airport Express to DAC Magic to RR2150. Interestingly, in this arrangement the RR2150 becomes less important to me except for its bass management.

True, AvFan, some of the uniqueness of the RR2150 goes away if you no longer consider its USB input to be essential. But, it is a truly great sounding 2-channel receiver. My decision came down to the RR2150 or refurbished Parasound separates, and while I won't argue that the RR is "better" I will say I'm very happy with what this $500 component has done for my system. The bass management is, as you say, icing on the cake.

One thing about the AE/DAC Magic combination. I experience persistent half-second dropouts when using AirFoil to stream AE Optical Out > DAC Magic > RR2150. I've spent considerable time with the tech support folks at both Cambridge Audio and the makers of the AirFoil software, and it seems like a known problem on AirFoil's end. There's no issue with iTunes at all, just AirFoil for streaming web-based services like Pandora and Last.fm. I assume you'd have experienced this problem in your current setup if it was going to affect you, but still, something to consider.

Interesting you mention Parasound; the Parasound 2100 preamp and the 2125 amp caught my attention as an alternative to the RR2150. Both the Parasound and RR2150 have a phono input and bass management but I'd be in the used market if I go Parasound due to cost and I'd still need a DAC. I've not used AirFoil so I've had no audio drop offs and I only use iTunes for music. The only issue, and it is very minor, is I miss the first second or two of the first song played when using the iTouch remote. Thanks for the heads up about AirFoils issues streaming web based music. Is there an alternative?