I've been using a DacMagic for a short while and I think it's an incredible value. As far as I can tell, it's sound quality is comparable to the PS. If they were closer in price, maybe the PS would win, but with the price advantage of the DacMagic, it's hard not to choose it.
The other advantage DacMagic has over PS is that it also has a digital pass thru so if you're using a DVD player for both music and movies, you can have a 2 channel analog output for your music and an unprocessed digital signal that can be decoded by a processor for 5.1 coming from the same player through the DacMagic. PS doesn't have a digital pass thru.
The other advantage DacMagic has over PS is that it also has a digital pass thru so if you're using a DVD player for both music and movies, you can have a 2 channel analog output for your music and an unprocessed digital signal that can be decoded by a processor for 5.1 coming from the same player through the DacMagic. PS doesn't have a digital pass thru.