CONNECTIONSAudio ConnectionsThere are two formats for audio connections: digital and analog. Digitalaudio signals are required for listening to sources encoded with digitalsurround modes, such as Dolby Digital and DTS, or for non-compressedPCM digital audio. There are three types of digital audio connections:HDMI, coaxial and optical. Any type of digital audio connection may beused for each source device, but never more than one for the samesource. However, it’s okay to make both analog and digital audio con-nections to the same source.NOTE: Since HDMI signals may carry both audio and video, ifyour video display device has an HDMI input, make a single HDMIconnection from your source device (such as a DVD player) tothe AVR. No separate digital audio connection is usually required.Make sure to turn the volume on your television all the way down.Digital AudioThe AVR 354 is equipped with three HDMI (High-Definition MultimediaInterface) inputs, and one output. HDMI technology enables digital audioand video information to be carried using a single cable, thus deliveringthe highest quality picture and sound.There are different HDMI versions, depending on the capability ofthe source device and the type of signal it is capable of transmitting.In addition, receivers and processors such as the AVR 354 may handlethe incoming signal in several different ways, depending on their capabilityas well. The AVR 354 uses HDMI version 1.3a, and is capable ofprocessing both the audio and video components of the HDMI data,minimizing the number of cable connections in your system. Thanks tothe higher bandwidth and speed of HDMI version 1.3a, the AVR 354implements Deep Color, which increases by an order of magnitude theshades of color that can be displayed; and the latest lossless multichannelaudio formats, including Dolby TrueHD and DTS-HD Master Audio.NOTE: Some DVD-Audio, SACD, Blu-ray Disc and HD-DVDplayers, output mulitchannel audio only through the source’smultichannel analog outputs. For those devices, make a sepa-rate analog audio connection in addition to the HDMI connec-tion, which is still used for video and to listen to Dolby Digital,DTS or PCM materials that may be stored on the disc.In addition, the AVR 354 will convert analog video signals to the HDMIformat, upscaling to high-definition 1080p resolution. You may view theAVR 354’s own on-screen display menus using the HDMI output.The physical HDMI connection is simple. The connector is shaped foreasy plug-in (see Figure 4). If your video display has a DVI input and isHDCP-compliant, you may use an HDMI-to-DVI adapter (not included)to connect it to the AVR’s HDMI Output, but a separate audio connectionis required. HDMI cable runs are usually limited to about 10 feet,depending on the type of cable used.Figure 4 – HDMI ConnectionIf your video display or source device is not HDMI-capable, use oneof the analog video connections (composite, S- or component video)and, if available on your source device, either a coaxial or optical digitalaudio connection.Coaxial digital audio jacks are usually color-coded in orange. Althoughthey look similar to analog jacks, they should not be confused, and youshould not connect coaxial digital audio outputs to analog inputs orvice versa. See Figure 5.Figure 5 – Coaxial Digital AudioOptical digital audio connectors are normally covered by a shutter toprotect them from dust. The shutter opens as the cable is inserted. Inputconnectors are color-coded using a black shutter, while outputs use agray shutter. See Figure 6.Figure 6 – Optical Digital AudioAnalog AudioAnalog connections require two cables, one for the left channel (white)and one for the right channel (red). These two cables are often attachedto each other for most of their length. See Figure 7.Most sources that have digital audio jacks also have analog audio jacks,although some older types of sources, such as tape decks, only haveanalog jacks. For sources that are capable of both digital and analogaudio, you may make both connections.The analog audio connection is strongly recommended if you intend touse the source with the multizone system. It’s required if you will beusing the multizone preamp outputs with an external amplifier to poweryour remote speakers, as the AVR 354’s multizone system is not capa-ble of converting the digital signal to analog format. It’s suggested thatyou also use the analog audio connections when using the SurroundBack/Zone 2 speaker outputs, in case another two-channel digital audiosource is in use in the main listening area. The AVR 354 is only capableof processing one PCM source at a time.You may only record materials from DVDs or other copy-protectedsources, using analog connections. Remember to comply with all copy-right laws, if you choose to make a copy for your own personal use.Figure 7 – Analog AudioMultichannel analog connections are used with some high-definitionsources where the copy-protected digital content is decoded inside thesource. These types of connections are usually used with DVD-Audio,SACD, Blu-ray Disc, HD-DVD and other multichannel players. SeeFigure 8. However, the multichannel analog audio connection is notLRAnalog audiocable (RCA)OpticalOptical digitalaudio cableCoaxialCoaxial digitalaudio cable15AVR354 harman/kardon