Just surfing thru previous posts. Saw a Meridian 563 DAC and did not know what this is. Checked via Google and it seems this equipment converts digtal input to analog. Is this to allow stereo preamps to read the signal from mp3 players, etc and allow them to be played on a home stereo ?? Many thanks

Digital to Analog Converter. When you have a CD transport its' output is a single stream of 1's & zeroes. The DAC converts it to 2 channel stereo - normally at 16 bit 44.1 khz.

I am taking about redbook CD.

And when a CD transport and DAC is combined into one enclosure it's called CD player.

Some high end models come in three pieces. CD transport, external DAC and external master clock generator, like this.

http://www.stereophile.com/hirezplayers/dc...layback_system/

iPod has a DAC in it too.

Thanks everyone !!! I did not realize that component stereo had gone to these lengths - granted I have been out of it for a while. My love of good sound has not diminished tho' - I still have a Harmon Kardon Citation 16 doing the power amp duties for me !!! Best of the season to you and yours.

I did not realize that component stereo had gone to these lengths

For at least 20 years, probably more............