So it appears that the DishPVR 508 can play Dolby Digital (AC-3) just fine when the channel and programming have it (nearly all HBO programming, several networks); but if you capture a show with Dolby Digital encoding, the encoding is lost as the PVR function only captures stereo…. unless I am doing something wrong.
Update: So apparently I am doing something wrong, all the old advertising brochures emphatically state that Dolby Digital is recorded on the PVR when the source programming is in Dolby Digital. I will have to keep testing.
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