Keep in mind, the fat PS3's still don't Bit Stream DTS-HD and TrueHD. Only the Slim's. However, you are right in saying that his receiver should automatically detect the LPCM (To Transport all audio) audio options regardless. To OP, You have to make sure you are getting all the LPCM audio options checked (Or automatically detected) **NVM, just checked your Receiver, it doesn't do HD audio decoding... so the LPCM (and DTS-HD and TrueHD decoding) option is out of the mix. **You can still have your Receiver do the decoding, that is just a matter of having the option on the PS3 for it to decode it or your Receiver to decode DTS, or Dolby Digital (AC3)