So, I got a squeezebox 3 couple days ago and here's after some testing
as to the DAC (I ordered some linear 5V already, will be here next
days). I run it over a pair of Axioms 80 (and some smaller other
speakers), a TacT and pair of Odyssey monos with cap upgrades. All in
FLAC, MP3 even insane is noticably worse (you hear clearly the hisses
and pops on fast decays and so on). When I go to some Wharfedale or
Missions though, it far less noticable, english speakers are way laid
back (I prefer the analytical sound though).

0. Used to run TosLink Audiotron before. Squeeze 3 is hugely better
(digital and audio out). 
1. The 24bit Burr is doing OK job for such small thing but no match  to
the DAC in the Tact (wait, it's 25x the price of a squeeze, gee, here's
a surprise ;-). Unless you run dac/amp/speaker set unter 5-6K$ you
probably be hard pressed to notice the difference though but if you do,
yes, DAC makes a very noticable difference. 
2. The digital out of the squeeze is surprisingly good as stock. I
expect it to be tad better when I put it on linear supply. I try to get
the boulder mod to see further (better caps & connector). It competes
right now as it is with my modded NAD 521i and that's something I could
have not claimed about any other piece of PC kind gear so far. 

Read up the enjoy the music review that just came out as well, that
will give you some mod ideas ;-)


-- 
prz
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View this thread: http://forums.slimdevices.com/showthread.php?t=18491

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