I posted a similar question on the Home Theater forum, but this may be a more appropriate venue:

I am curious about the Harman Kardon DPR1001 'all-digital' receiver (they apparently have more all-digital models in the pipeline, too). The salespeople rave about how cool they run, the superiority of the digital path, and the compact size. But if the digital path has to be converted at some point to analog (like at the speaker terminals), what's the advantage? For example, if I connect an SACD player to the 5.1 inputs, I would be using analog inputs, and (hopefully) bypassing the digital altogether.

This receiver is being phased out and so it can be found for $500 or so, making it a very attractive upgrade. Has anyone used this receiver?