Originally posted by gonk:
For a Mac Mini setup, you might look at the M-Audio Transit . It connects to the USB output of a PC or Mac and provides an optical connection that will pass Dolby Digital and DTS, and it costs about $80 . Just a note... I have the Transit and it does not support DTS. I haven't tried to hook up my G5 Power Mac to determine if this is a limitation of the mini/transit or if it's a limitation of the Apple DVD player and libraries. I seem to remember that it's a problem with the DVD player and not a driver issue.
Also, VLC no longer supports DTS due to patent infringement/legal issues. I don't believe there is any way to get DTS support on the Mac. Which stinks, because I have several movies ripped to my mini with DTS soundtracks.