Originally Posted by kloneman
I believe that once the content is digital, it should remain so as far down the reproduction chain as possible, therefore the best place "Killer DACs/audio processing" is the in the preamp/controller/processor rather than the player. This method also allows for all digital sources to benefit from the qualitiy of DACs, and the short path for the distortion/noise introducing analog stages.
Practicalities enter the situation here. You'd have to "klone" my paycheck quite a few times before I could afford a digital preamp with the features I want (balanced outputs). And I suspect most digital preamps come with digital volume controls which neuter the sound in comparison with analog preamps.