Originally Posted by LessisNevermore
So-called "lossless" is much better, but it's still being compressed, and in this case, less is still less.
No, so called lossless is lossless. Unless the marketeers are lying again.
If you run a WAV file through WinZip and back, you get the same bits out as you put in. Same with RAR, which just uses more complicated math to do the same thing with better compression. Same with FLAC, which uses even more complicated math specifically formulated for compressing audio rather than programs or whatever else.
There is no difference. It is 100% bit for bit identical. It's not like 1.5Mbps DTS sounding very similar to the point of difficulty in distinguishing on all but the highest end systems. It is exactly the same as the original CD. If you hear a difference, you're falling victim to placebo (or a very, very broken computer, or the odd cosmic ray flipping a single bit in memory).
FWIW, MediaTomb can transcode FLAC to WAV on the fly and serve it to the PS3. (at least if Sony ever fixes what they broke in 2.20)