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So I have lots of HD movies on my PC and I want to watch them on my big screen LCD (1080p). There are two way to do it. Either connect a PC with X-Fi titanium soundcard and HDMI output and connect the sound card through 3 pin analog to my Z5500 and the HDMI to the LCD.

The second way is to get WD Live and connect it via HDMI to my LCD and a digital connection to my Z5500. I want to do it the WD way since its a small device and I wont have to move my PC with my LCD.

 

Here's the confusion:

Video is no issue. Both PC and WD Live will output 1080p. But WD Live will only output digital audio to my Z5500 as opposed to 3 pin analog on my PC. From what I've heard the analog connection is better since Z5500 has low quality on board DAC. 

 

My question is:

Is it a better idea to have 3 pin analog through my PC to Z5500 or the digital on WD Live? I've tried analog from my PC and the results were fantastic. Now I dont want to buy WD Live only to find out the digital out sucks on my Z5500. So what should I do?