In addition to the digital-to-analog converter (and the McIntosh C2700 has a very good one - proprietary Quad Balanced technology, ready to work with signals up to DSD512 and DXD 384 kHz), there is also a Dolby and DTS spatial sound decoder with stereo conversion. Thus, the device will work perfectly with movie sound, easily integrate into a home cinema (there is a Home Theater Pass-Through mode), and also interface with TV via HDMI ARC.