Do you mean Squeezebox Touch ?

You did not miss anything , you don’t have to set-up anything .
Normally all outputs are active at the same time coax digital and analog
and optical and headphones .

You have not done any modifications to the Touch , there are some
software mods around that could affect this .If so just factory reset it
and start over .

However volume is active on all outputs including the digital out , so
if you have the stereo amps volume high and uses the squeezebox volume ,
the volume to the soundbar could be really small .

Try the soundbar , does it work as expected do you some other source
with a coax digital, dvd player ,cd player or some game console .

Try the squeezebox on something else with a digital input ?



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Main hifi: Touch + CIA PS +MeridianG68J MeridianHD621 MeridianG98DH 2 x
MeridianDSP5200 MeridianDSP5200HC 2 xMeridianDSP3100 +Rel Stadium 3
sub.
Bedroom/Office: Boom
Kitchen: Touch + powered Fostex PM0.4
Misc use: Radio (with battery)
iPad1 with iPengHD & SqueezePad
(in storage SB3, reciever ,controller )
server HP proliant micro server N36L with ClearOS Linux

http://people.xiph.org/~xiphmont/demo/neil-young.html
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