Further to my previous post, I took a dip and bought a M2tech HiFace. Deciding on whether to wait for the new squeezebox touch or spend less than half on this beastie....no contest on that score. Waiting a few days for delivery is always a pain but its here and WOW. A doddle to set up using the downloaded drivers. How does it sound. Great, everything has just opened up and the sounstage and detail is incredible. Upper freq hardness, although not really obtrusive has just vanished. Bass is very tight and mid range vocals sound as if they are in the room.
Not the cheapest usb to spdif adapter out there but the 2 oscillators are really doing their job. I can recommend this to anyone without reservation. I have been toying with the idea of upgrading my dac if and when funds allow....I think that idea has just vapourised....