How to connect computer to my old dac?

[dbw1]

I'm looking to buy a computer as my first music server. My DAC is old (Theta Probasic IIIA) and has only coaxial digital inputs (and a balanced, but no optical, bnc, or usb). It can't read higher than 16/44, but my primary goal is excellent playback of my redbook cd collection that I will rip to the new computer. The dac goes to a simaudio p5 pre-amp, theta dreadnaught2 amp, snell xa90 speakers. My limited understanding is that I have the following options:

 

1) find a computer with a digital coaxial output. Any suggestions? I can't tell on the hp and dell websites if those machines have them. Also I've heard the quality of these outputs are questionable. this would be simplest though.

2) get a usb to coaxial converter. Is there a reasonably inexpensive way to do this? I can't afford a Berkeley audio unit and I think that would be crazy anyway vs. replacing the dac.

3) I have a logitech squeezebox that I've never used and could connect that directly to the dac. I'd love to just control the computer directly though rather than doing it with the squeezebox if I can.

 

I'm totally new to this and appreciate any guidance. Thanks. -Dave

[Audio_ELF]

USB to SPDIF converters start around £100 for the M2Tech HiFace and HiFace II; through devices from Musical Fidelity, Peachtree and NuForce up to several at different price points from BelCanto and then up to Audiophillieo and on the the heights of Berkeley.

 

Generally sound quality follows price.

 

Eloise