I have a Sony DAV DZ340K DVD home theatre. Its USB port has limitations in terms of A/V codecs supported and the size of the video file. Wonder if anything can be done about it. Moreover the box does not have any optical input, only analogue audio.
I am planning to buy an Asus O! Play Mini media player to be able to play HD content.
My output is an Epson projector.
My query is - if I buy an active HDMI splitter and connect it as follows - HDMI out from Asus media player connected to the splitter. One HDMI out from the splitter going to the projector and the other to the Sony Home Theatre - will I get the original audio and video encoding of the movie that I play?
You are asking about a HDMI splitter, but where do you plan to plug the HDMI cable into? It looks like your Sony DAV DZ340K doesn't have a HDMI input. Frankly, the system is a really low end setup for audio which isn't usable in the setup as you want to use it. You should be looking for a proper A/V receiver with multiple HDMI inputs and a HDMI output to feed the projector. www.accessories4less.com has some great refurbished system for only a few hundred bucks.
USB is not HDMI. Not even close.
You will get nothing at all into that system by any means at all unless you use the red/white stereo connections on the back, which means your 'best' audio will be stereo.
With all serious fairness to a newbie who made a mistake, coming from someone who made similar mistakes along the way, buying a proprietary system without coming to the forums and asking first was a bad way to do things. But, if you have a bit of a budget that allows you to get something, then check out a place like www.accessories4less which can offer some traditional systems for just a few hundred dollars which are exceptional. Ask in the audio specific sections of the forum, and be prepared to 'gift' that Sony to someone who may have much more limited needs and desired.
It is possible you may be able to use the existing speakers, but probably not the subwoofer, and the quality will be weak to terrible no matter what.