I was very excited to give this a try when I came across this thread, but unfortunately, iTunes WASAPI doesn't seem to be working on Windows 7. I have 5 test 5-channel WAVs (2 in AC3 format and 3 in DTS), and none work. All work in Foobar with WASAPI output. In iTunes, however, the output is using 48kHz no matter if I select that as an available sampling rate or not in SPDIF device properties. The reason I know it is using 48kHz is that if I attempt to "test" that sampling rate with the Windows test chime, a prompt will indicate that there is another application in use, and that if I continue, that application may not continue to work. That application is iTunes. The prompt only appears when selecting 48kHz with which to test.
So, it seems to be the exclusive sound app, but is using 48kHz instead of 44kHz, which is what Foobar uses for these 5-channel test WAVs. I find it odd, however, that something changes with regard to audio from Vista to W7 with respect to WASAPI.