Budget DAC vs Budget CD Player?

Thanks guys. I'm thinking the DAC makes more sense right now too. I was also looking at a used NAD CD player....

Also if you have a nice USB DAC would there ever really be a need to add a CD player if you run a Mac Mini all the time? Seems you could just RIP everything and control the music thru the Mac.

Also considering the Emotiva XDA-2.

It is a good idea to have a spinner as a backup in case your computer based system goes belly up, you don't have to be totally without music on those occasions when you're really on the mood to hear something. I have a Denon changer, and it cannot touch the quality of my PC based front end, but I use it from time to time when I don't have the laptop totally set up, or if I don't have that new CD ripped just yet.

I bought the Audioengine D1 when it first came out. I ran a Sheffield test and burn in CD through it for 72 hours. To my ears, it sounded no better via optical (Cables to Go 40231 SonicWave Glass Toslink Cable) than a $21 FiiO D3 DAC available through Amazon.

Kray- I currently have the 1st generation Emotiva XDA-1 DAC in my system. It is a wonderful dac and a steal of a price but the USB input on my unit is nothing special. I would recommend the latest version if you go with Emo, I think they improved the USB section. The remote control volume and swithching really comes in handy!

The DAC route also allows an upgrade path via USB converter, a la Musical Fidelity Vlink 192, JKSPDIF MK3, Audiophilleo, Anedio, Empirical Audio, many others. Using a USB converter to re-clock the signal offers significant upgrades in sound vs. the USB inputs in the vast majority of DACs.