Will I suffer some signal loss to my Sonos ARC by using optical instead of the required HDMI 2.1 cable from my Sony X950H?
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Yes. If Atmos is important to you, it can only be carried over HDMI, either via Dolby Digital Plus or MAT / TrueHD, both requiring HDMI. Optical can only carry Dolby Digital, which is a 5.1 signal.
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