Line out does indeed work as toslink. You just need the mini-toslink adapter. Don't forget to take the protective cover off though *cough* yepimonfire. lol.
I know monoprice has a mini-displayport + usb to hdmi that has sound and video, but I don't believe theres a minidvi version of that.
Sounds Good- that is displayport, not mini-dvi. They're not interchangeable.
Thanks- I keep forgetting to look at that port when I go to that customer's house and they don't expect miracles from Hulu and whatever else they watch on the 'net. I would prefer that the digital audio was coming through something other than a fragile fiber cable, especially since they have two kids, although I can always locate a junction in the room with the TV and computer. The receiver and the rest of the equipment that doesn't need to be in that room is in the basement, in a Middle Atlantic rack, directly under that room.
It's a good thing the various adapters are available from a variety of sources. What I don't like is when the cable is so short. A big, honkin' HDMI, VGA or DVI adapter on the end of a 4" cord is asking for trouble, IMO.