XSX: Passing compressed basic DTS stream via optical from DTS-HD MA Blu Ray?

Hello, I recommend that you try those troubleshooting steps on your console for the blu-ray issue:

1- Go to settings

2- Select devices and connections

3- Select blu-ray

4- Choose persistent storage and clear it

You can also try the following steps to fix the DTS audio issues you have:

Windows Sonic, Dolby Atmos, and DTS Headphone:X headset settings on Xbox | Xbox Support

Short answer: Dolby Digital.

I would assume the Xbox One's Dolby encoder would be 640kbps and the DTS encoder would be 1.5mbps. Does this make DTS better? Not necessarily, it's kind of an apples and oranges comparison. Comparing different codecs based on bitrates is pretty much useless.
The best one to use would be the one that is native to the content you are playing.

So use Dolby for streaming, DVDs, and Blu Rays that are encoded in Dolby and DTS for DVDs and Blu Rays encoded in DTS. Games shouldn't matter, since the audio files could be compressed in different formats and will all be converted to PCM and mixed before
being compressed again by the Xbox.

Actually, all audio is going to be uncompressed by the Xbox, even DVDs and Blu Rays, and then compressed again into Dolby or DTS if you select Bitstream out. The best solution is to just pick one and go with it.

I would choose Dolby, because most (all?) streaming services and most DVDs use Dolby for surround. This way the audio is always compressed using only one format. A lot of Blu Rays use DTS, however they are almost all lossless DTS, so when they are converted
to PCM by the Xbox they show no signs of compression. They too will essentially only have been compressed by one format, Dolby.

One question, why have hdmi from receiver to tv AND an optical to tv as well? Hdmi should carry the audio, so not sure why you would use optical to tv as well.

If your watching blu ray movies I would stick to uncompressed. Blu ray movies almost always have a lossless track (Dolby TrueHD or DTS-HD master audio) which is a clear step up from normal Dolby digital or DTS. Uncompressed should pass the lossless tracks,
where Dolby digital or DTS will not. Don't worry about the Dolby or DTS light on your receiver. Only reason that they may sounds better is IF you are usb a surround processing mode that only works on a bitstream signal.

Optical for audio doesn't work for me. When I watch Blu-rays and play games with better than Dolby Digital Sound (DTS-MA or Dolby TrueHD), optical can't send those.

Anyone figured out a clever way to make surround sound pass through from their cable box work normally, or is this just a deal breaker?

PCM 7.1 dose not sound the same as dolby tru HD or DTS MA. my PS4 dose all this and you can here the difference when watching a blu ray movie so there for the xbox one dose not have tru HD or DTS MA cause if it did i will not have to mess with my receiver
so i can hear all my speakers are on.