I have read through batpig's FAQ and the Ps3 FAQ and I think my question falls in the gray area all around.
background....I have been a pre-dominant 360 user and recently, after my 7th RROD picked up a PS3. I like both and use one or the other (or both) every night.
I however have 4 kids and a grumpy wife that requires that I play using a headset and no tv or surround sound. I have a great headset that I have had great luck with since their launch the A40. If using with one or the other system it would be no problem but the cabling and spaghetti of wires trying to use the same headset with both systems is unsustainable.
I have considered a receiver (denon 788) but I really think it is overkill for what I am needing to do (I could buy a second headset or mix amp for less money).
So long story to the following questions:
1. Do I need a Receiver to solve my problem or this a less expensive method to do the switching?
2. From what I can see the minimum requirement is two HDMI in and one out and two optical in and one out....
Thanks for looking at this AVS noob's questions and post