The sound quality of Apple Lossless and FLAC will be the same, so the
choice depends a lot on which "ecosystem" is more important for your
purposes. If you are heavily invested in SBs, then FLAC is the way to go
because Squeezeboxes play FLAC natively. If support for Apple products
is important to you (AirPlay, iPods, etc) then you're better off with
Apple Lossless. Personally, my library is mostly FLAC, but I keep a
parallel lossy copy in MP3 format for use on iPod, laptop, and other
mobile devices because on those I can easily live with the lower
fidelity of MP3. 

If you have several SBs and your comment on iTunes is that it is
"bearable", then my reaction is why bother with Apple Lossless at all?
There are ripping and management tools that support FLAC that you are
likely to find much better than "bearable" (eg, dBpoweramp, Winamp,
foobar2000, Media Monkey, and many others). So why go with Apple
Lossless.

If your server is capable, there is nothing wrong with transcoding to
Apple Lossless and sending to multiple players. But if the server
doesn't have enough processing power then you can run into problems with
dropouts as the server cannot transcode fast enough to send a steady
stream. 

As for what SBs play natively, this chart from the wiki has a good
listing: http://wiki.slimdevices.com/index.php/Hardware_comparison  It
may not answer all your questions, but it's a good start.


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