Hello Kishore/DVV,
After playing with the Trinaural Processor for a few weeks (
http://www.audiocircle.com/index.php?topic=3046), I have to agree that 3-channel is far superior to Stereo (like the progression from Mono to Stereo). For those individuals that care nothing for Home Theater and just strive for the best stereo sound possible (via Phono, CD, or SACD), then the Trinaural is a no-brainer. For those that also like to watch movies (and can't place a big speaker right where the screen would go

), then the benefit is a little more subjective.
As for the Positive Feedback article, I already know a few folks that have several gig of music on a PC that is hooked up to some very nice equipment. A few songs sounded really bad but many I could not tell the difference between MP3 and CD. However, compared to some of the better SACDs, the downloaded music sounded terrible. I personally see the market dividing into multiple segments (strictly my own personal opinions based upon my own observations so please take this with a grain of salt):
The first segment is the true "audiophile": high quality 2-channel only (about half are into SS amps and SACD and the other half prefer tube amps and phono). This group is not necessarily dieing but doesn't seem like it will get any bigger.
The second segment is the experimental "audiophile": is willing to try multi-channel SACD/DVD-A as long as it does not harm their 2-channel experience that much. Also views the ability to watch movies in this set-up as an "added benefit". These folks are willing to experiment with downloading music but prefer not too since they do not like the fan noise from the PC. I think many on the AudioCircle forum fit into this category. Unfortunately, this segment also does not seem to be getting much bigger.
The 3rd segment is the Videophile: These people primarily like Home Theater and view the ability to listen to music as an "added benfit". Many of the "Videophiles" I know are actively converting to Home Theater PCs. They are used to the fan noise of their CRT/LCD/DLP projector so the fan noise of the PC does not bother them. This group will be the first to embrace the new "audio revolution". They also have a tendency to dominate the online forums talking about how good their system sounds (but unfortunately few have heard really good sound as defined by Segement 1). This seems to be the most actively growing segment right now. As front projectors come down in price and get better in quality, this segment will continue to grow.
The 4th segment is the mass market followers. Once a technology hits Best Buy or Circuit City and their "knowledgable" friend has one, they will buy it. This group makes up 95% of the population.
There are probably a few other segments or sub-segments that I have not listed but I think most people will get the idea.
Julian
www.sedonaskysound.com