In our store, we encounter both: customers who have never streamed and honestly say "I want nothing to do with it" – and customers who haven't listened to anything else for years. The amazing thing is that both groups often ask the same questions. What's the actual difference between the services? What do these numbers with bits and kilohertz mean? And do I really need a dedicated device for good streaming, or will my phone suffice?

In just a few years, streaming has evolved from a niche for nerds to a standard – and in the process, a jumble of terms has emerged, making entry unnecessarily complicated. This guide aims to clear things up:

  • What "streaming" actually means – and the three things that are constantly confused
  • What truly distinguishes streaming services
  • What bitrate, resolution, and hi-res mean – and where the difference becomes audible
  • How the signal reaches your system and why precisely that determines the quality
  • The various ways to get into streaming, from free trials to dedicated devices
  • What to look for when buying a streaming device

By the end, you'll know what you really need – and what you can save on. There's also a checklist to take away.

No model names, no price discussions. Just the fundamental principles that will still apply five years from now.

Table of Contents

From Record Cabinet to the Cloud: How Streaming Became the Standard

The journey explains quite well why the terms are so muddled today.

For many, it all started with their own CD collection. Those who transferred it to their computer in the early 2000s primarily wanted one thing: not to move with boxes full of silver discs anymore. Music suddenly existed as a file and could be played on the computer. This was convenient – but not yet streaming; it was simply playback from one's own hard drive.

Next came the first network players: small boxes that retrieved music from a computer or network hard drive in the house and passed it on to the stereo system. Technically fascinating, cumbersome to operate – and for a long time a niche product for tinkerers.

The real breakthrough came when two things coincided: systems that could supply multiple rooms simultaneously from one source, and the first streaming services with huge music catalogs from the internet. From then on, listening to music was no longer tied to what was on one's own shelf.

This very development is the source of the confusion: the term "streaming" today describes at least three different things – and we'll sort those out first.

What "Streaming" Actually Means – Three Commonly Confused Concepts

Once you separate these three levels, the rest becomes much simpler. They are independent of each other and can be combined freely.

1. The Music Source: Where Does the Music Come From?

  • From an internet streaming service – a catalog with millions of tracks for a monthly fee.
  • From your own library on your home network – for example, from a computer or a NAS. (A NAS is a hard drive that is not connected to a computer but directly to the router; this makes it accessible to all devices in the house, even if the computer is off.)
  • From internet radio and podcasts – stations and shows broadcast over the network.

2. The Playback Device: What Turns It Into Music?

A smartphone, a computer, a dedicated streamer, a streaming amplifier, an all-in-one device, or an active speaker with network connectivity.

3. The Transmission Path: How Does the Signal Get There?

Via Bluetooth, via Wi-Fi, via a network cable – or via a cable directly from the headphone jack of the smartphone. This point is most often underestimated and has more influence on sound quality than most people realize. More on this below.

An example makes it tangible: You might subscribe to a hi-res streaming service (Level 1), use it via your phone (Level 2), and send the signal to your system via Bluetooth (Level 3) – and yet, in the end, no hi-res quality will reach your speakers. The chain is only as strong as its weakest link.

Why Stream at All? The Honest Advantages

A legitimate question, especially if you have a well-stocked shelf in your living room. Here are the arguments for it:

Convenience. You don't have to get up, search for anything, insert anything, or put anything away. It sounds trivial – but in practice, it's why many people use their system much more often than before.

Discover instead of buying on spec. In the past, you went to the record store and hoped for an available listening station. Today, you listen first and then buy if something really grabs you. For many, streaming is not a replacement for their collection, but its best supplier.

Internet Radio and Podcasts. A tangible reason for many: Analog radio via cable networks has been switched off, and traditional FM channels are becoming fewer. Via the internet, on the other hand, you can reach practically any station worldwide – plus the entire podcast world.

Sound Quality Beyond CD Level. The CD is limited to a fixed standard in terms of quality. Higher-resolution recordings are also available via streaming services, which are technically above this standard. We'll honestly assess what that practically means further down.

Music in Multiple Rooms. From one source, controlled via an app, something different in each room or the same everywhere. Physical sound carriers can also be distributed via a multiroom system – but then the same record plays everywhere, and you still have to reach it yourself to turn it over.

And What Streaming Cannot Do

Honesty is essential: A subscription is a rental, not ownership. Albums can disappear from catalogs if licenses expire. Some niches, historical recordings, or small labels may not be represented at all. And the feel of a record, putting it on, holding the cover in your hand – no app can replace that.

That's why for most of our customers, the result is not an either-or, but a coexistence: streaming for everyday use and discovery, vinyl or CD for dedicated listening sessions. In our assortment: Turntables · CD Players

Streaming Services: What Distinguishes Them

There are a number of established providers – Spotify, Apple Music, Amazon Music, Tidal, Qobuz, Deezer, and a few more. Instead of going through them individually (offers and conditions change constantly), here are the criteria you should use to make your choice:

Offered Sound Quality. The most important difference. Some services only provide compressed quality, others lossless CD quality, and still others additionally offer higher-resolution recordings. If you have a good system, this is the first filter.

Catalog Scope and Focus. The large catalogs are very similar for popular music. The differences lie in the margins: classical, jazz, electronic niches, small labels. If your listening focus is there, a targeted test with your own favorite recordings is worthwhile.

Support by Hi-Fi Devices. This is the point beginners most often overlook – and which causes the most trouble later. Not every streamer and not every streaming amplifier directly supports every service. If your service is not integrated, you will have to resort to workarounds that compromise convenience and sometimes quality. Therefore: Choose the service first, then the device – not the other way around.

Operation and Music Discovery. Some services excel at automatic recommendations and playlists, while others focus more on editorial curation and detailed album information. This is a matter of taste and can only be found out by trying.

Integration of Your Own Collection. If you want to use your ripped CDs or purchased downloads, check if and how the service and app allow this.

Ecosystem Lock-in. Some services are tightly integrated with a device or smartphone ecosystem. Convenient if you're already in it – hindering if you want to switch later.

Our tip: Almost all providers have free trial months. Use them – but test seriously, with the same five recordings you know inside and out, and preferably already through your system instead of through phone speakers.

Resolution and Quality: What the Numbers Mean

This will be briefly technical – but we'll keep it as clear as possible, because you'll need these numbers to choose your service and device.

Lossy or Lossless – The Crucial Difference

Lossy compression (indicated in kbit/s, such as 128, 256, or 320): Here, data volume is saved by removing parts of the signal that are considered less important. The result is significantly smaller – and the removed parts do not return. This was a necessity in times of expensive data connections and small storage capacities.

Lossless (often referred to as "Lossless" or with format names like FLAC or ALAC): Here, the file is also reduced in size, but in such a way that the original can be exactly restored during playback – similar to a ZIP file. Nothing is lost.

CD Quality as a Reference Point

The CD operates with 16-bit resolution at a 44.1 kHz sampling rate. You'll encounter these two numbers everywhere:

  • The sampling rate (kHz) indicates how many times per second the music signal is "photographed" – 44.1 kHz is about 44,100 snapshots per second. It determines how high the detectable frequencies extend.
  • The bit depth indicates how finely the volume gradations are recorded – how many intermediate steps between very quiet and very loud are available. It primarily determines the dynamic range.

Anything above that – such as 24-bit at 96 or 192 kHz – is referred to as Hi-Res. In addition, there is another technical process called DSD, which plays a role primarily in audiophile niches and SACD transmissions.

And What Can You Really Hear From It?

Here, we remain deliberately sober, because a lot of marketing is done around this topic.

The leap from compressed to lossless is the most rewarding. Between a highly compressed stream and CD quality, on a good system, there's a difference most listeners can perceive – often less as "more details" and more as greater tranquility, cleaner highs, and a more stable soundstage.

The leap from lossless to Hi-Res is significantly more subtle. Whether and how strongly it is perceptible is still controversially discussed. Some listeners describe it as noticeable, while others, under controlled conditions, hear no reliable difference. Both perspectives should be taken seriously. What is certain is: It is not an effect that guarantees a before-and-after "aha" moment.

And the most important point: The recording and mixing quality almost always matters more than the format. An excellently produced recording in CD quality sounds better than a poorly mixed one in Hi-Res. Added to that are your system, your room, and the placement of your speakers – all factors that, in everyday life, have a greater impact than a higher number on the data sheet. Proper Speaker Placement

Practical classification: For a good home system, a service with lossless quality is worthwhile. Hi-Res is a nice bonus if the service and chain provide it at no extra cost – but not a reason to build your system around it. On the go, via mobile data and in-ear headphones, a lower quality level is usually perfectly adequate and saves data volume.

The Underestimated Aspect: How the Signal Reaches Your System

You can subscribe to the best service at the highest quality level – if the transmission path doesn't keep up, the effort was in vain. These are the available paths:

Bluetooth. Convenient, works with everything, no network needed. But: Bluetooth always compresses the signal for the wireless transmission. More or less strongly depending on the method used, but it remains a bottleneck. Perfectly fine for the kitchen, balcony, or a quick round of music – not the first choice for a good system in the living room.

Cable from the phone's headphone output. The easiest entry point of all and better than its reputation – however, limited by the phone's converter and output quality.

AirPlay and Chromecast. Transmission via the home network instead of direct wireless connection. Significantly better than Bluetooth, very convenient, but limited in maximum possible resolution depending on the method.

Service-specific transmission (the "Connect" functions). Something crucial happens here: Your phone doesn't send the music itself, but only tells the streaming device what to play. The device retrieves the stream directly from the internet. Your phone thus becomes a pure remote control – you can put it away, it can ring or go into standby without the music stopping. Sonically, this is the cleanest way.

True network streaming via the device app. The same principle, controlled via the device manufacturer's app, usually with access to multiple services, internet radio, and your own network library. For most, this is the most convenient solution.

UPnP/DLNA. An open standard that allows playback devices to find and play music from their own network – for example, from a NAS or computer. Works across manufacturers, but is often more functional than comfortable in operation.

Roon. A proprietary software platform that does significantly more than just transmit music. Roon combines your own collection and your streaming services into a shared library, enriches it with artist biographies, album backgrounds, and connections between musicians, suggests new music based on this, and distributes music synchronously to multiple rooms. Additionally, it offers features like room correction and signal processing. Roon runs on a computer or a dedicated server in the house and requires certified playback devices – a point to consider when buying equipment if Roon is an option for you. It requires a separate subscription and is particularly worthwhile for listeners with large personal collections who enjoy exploring music rather than just playing it.

The rule of thumb we give everyone: Your phone should be the remote control, not the player. As soon as the streaming device retrieves the music itself, the path is short, clean, and stable.

Network and Internet: What You Really Need

Here, we can quickly put most worries to rest: Audio streaming requires surprisingly little bandwidth. Even lossless and higher-resolution music operates at magnitudes that any normal household connection can handle without problems. High-resolution video streaming consumes many times that amount.

Problems therefore almost never arise from the internet connection, but from the home network:

  • Wi-Fi range and interference. Thick walls, underfloor heating, overcrowded radio channels in apartment buildings – these are the most common causes of dropouts.
  • Router position. A router in the hallway cabinet behind metal is a classic problem.
  • Too many devices simultaneously on a weak Wi-Fi network.

Our clear recommendation: If at all possible, connect the streaming device via network cable. This is the most reliable way, costs little, and usually eliminates dropouts immediately. Where cables are not feasible, a mesh system or an additional access point near the system helps more than any accessory.

Regarding networks, there are also Hi-Fi specific accessories such as audiophile switches or specially shielded network cables. Whether and how strongly such components affect the sound is controversially discussed – that's a topic in itself, and we recommend first clarifying the basics: stable connection, preferably via cable. Network Switches · Network Cables

Unsure if your network is suitable for the system in your living room? Write to us briefly about your setup – it can usually be clarified in a few minutes.

Getting Started: Four Ways into Streaming

Method 1: Just try it out – with what you already have

Almost anyone can get into streaming today without investing a single cent in hardware. Connect your phone or laptop via cable to a free input on your amplifier, sign up for a trial month with a service – and you're done. For a few weeks of trying it out, this is the most honest way to find out if streaming even suits your listening habits.

What you'll notice: It works, but the enjoyment suffers. If you work with your phone and computer all day, you rarely feel like picking up the same device to listen to music in the evening. Plus, there are calls, notifications, and a dead battery at the most inconvenient moment. Listening to music shouldn't feel like work – and that's where the next stages come in.

Option 2: A streamer connected to your existing system

A dedicated streamer is a device that does nothing but retrieve music from the internet and pass it on to your amplifier. It connects like a CD player, is controlled by an app – and your phone is just a remote control.

For those who have a good system and don't want to replace it, this is the classic and usually best way. We have described the details in a separate article: Making an existing system streaming-capable · Streamers

Option 3: A streaming amplifier

If a new amplifier is due anyway, it makes a lot of sense to include streaming: one less device, one less cable, one app for everything. Amplifier buying guide: which type suits me? · Streaming Amplifiers

Option 4: All-in-One Devices and Active Speakers

The most compact solution. With all-in-one devices, the amplifier, streamer, controls, and speakers are all housed in a single unit – one device, one power cable, done. With active streaming speakers, the same technology is distributed between the two speakers: two speakers, two power cables, no other device in between.

Ideal for secondary systems, small rooms, or anyone who wants as little technology as possible in the living room. The price for this is less flexibility for future expansion. All-in-One Devices · Active Speakers

What to look for in a streaming device

Once you've decided on dedicated hardware, these are the points to consider – in order:

1. Does it support your service? By far the most important point. Before buying, check if your streaming service is directly integrated. Everything else can be changed later, but not this.

2. What resolutions does it process? If you want to listen lossless or at higher resolution, the device must be able to handle it. Make sure the specification applies to the path you actually use.

3. What outputs does it have? Analog (RCA, partly XLR) for direct connection to the amplifier – or digital (optical, coaxial, USB) if you want to use an external converter.

4. Built-in converter or external DAC? The D/A converter turns data into an audible analog signal and has a significant impact on the sound. Many streamers come with a good one. If you already own a high-quality external converter or want to specifically upgrade, choose a device with a digital output. D/A Converters

5. Is there a network connection? A device that only supports Wi-Fi deprives you of the most reliable connection method.

6. How good is the app – and how long will it be maintained? With a streaming device, you will almost exclusively use the app in everyday life. A cluttered or sluggish app spoils the fun more than many a sound difference. And because services evolve, the manufacturer's update policy is a real buying criterion – this is where the wheat is separated from the chaff only after years.

7. Can you integrate your own collection? If you have ripped CDs or downloads, check for support for network libraries (e.g., from a NAS) and USB storage.

8. Multiroom capable? Even if it's only one room today – if more are to be added later, it's easier to start with the right system from the beginning.

9. And finally: How does it sound? Streamers don't all sound the same, even if they process the same data. Power supply, converter, and output stage make audible differences. If you are torn between two candidates that both meet your requirements: Listen to them.

Music in multiple rooms: Multiroom

As soon as music is to be played in more than just the living room, multiroom comes into play: several devices in the house, controlled via one app, synchronously or differently in each room.

The crucial point here is less the individual device than the system behind it. Sonos, BluOS, WiiM, HEOS, MusicCast, and other ecosystems each have their own apps, their own strengths, and different sizes of device families – and they usually cannot be mixed. The decision for a system is thus a decision for years.

If multiroom is or could become an issue for you, it's worth taking a look at our detailed overview before you buy your first device: Multiroom Systems Overview · Sonos System · BluOS System

Typical Mistakes and Misunderstandings

Confusing Bluetooth with network streaming. "My amplifier can stream" often only means it receives Bluetooth. This is completely different from true network streaming – and on a whole other level in terms of sound quality.

The Hi-Res subscription on a chain that can't pass it through. The most common expensive mistake: paying for the high-quality level and then sending it to the system via Bluetooth or playing it through a device that doesn't even process it.

Bought the device first, then realized the desired service was missing. Always do it the other way around: choose the service, then check which devices support it.

Using your phone as a player instead of a remote control. Leads to interrupted music during calls, dead batteries, and unnecessary quality losses. If your device directly supports the service, use that.

Skimping on Wi-Fi. Dropouts and disconnections are almost always blamed on the electronics, but are usually due to the network. A network cable solves more problems than any upgrade.

Expecting Hi-Res to improve every recording. The format can cleanly transmit a good recording – but it can't save a mediocre production.

Deciding based only on the data sheet. Two streamers with identical technical specifications can sound different and operate completely differently.

Checklist: Seven questions to find the right setup

  1. How much music do I listen to on my system – and how important is sound quality to me? This determines whether a phone cable is sufficient or if dedicated hardware makes sense.
  2. Which service do I want to use? Service first, then device. Use trial months.
  3. What quality level do I need? Lossless for a good system, compressed is usually sufficient on the go.
  4. What do I already have? A good amplifier suggests a streamer, an upcoming amplifier purchase suggests a combination device.
  5. Do I have my own music collection that I want to integrate? Then look for support for network libraries and USB.
  6. What does my network look like at the installation location? Is a network cable possible? If not: check the Wi-Fi situation.
  7. Do I want to add more rooms later? Then choose the right multiroom system right away.

Conclusion: What suits whom

You are curious but undecided → Sign up for a trial month and connect your phone or laptop via cable to your system. It costs nothing and answers the most important question: Does streaming suit my listening habits?

You have a good system that you are happy with → A dedicated streamer. Best sound improvement per euro invested, without having to replace proven equipment. Streamers

You are due for a new amplifier anyway → A streaming amplifier. One device, one app, fewer cables. Streaming Amplifiers

You want something compact, uncomplicated, and minimal technology in the room → All-in-One device or active streaming speakers. All-in-One Devices · Active Speakers

You want music throughout the house → First choose the multiroom system, then the devices. Multiroom Systems Overview

You maintain a large personal collection → Look for network library support and a good converter; a NAS is almost always the most sensible basis here.

We have also made videos about this

If you prefer to have the topic explained: We have also tackled streaming on camera – once as an introduction to the topic and once with a focus on products, connection, and operation. Feel free to check them out.

Frequently Asked Questions

What is streaming actually – and what is the difference to my digitized CD collection on my hard drive?

With streaming, music is transmitted as it is played, instead of being fully stored beforehand. With a streaming service, it comes from the internet; with your own collection, it comes from your home network – for example, from a NAS, which is a hard drive connected directly to your router and accessible to all devices in the house. Technically, the playback principle is very similar; the difference lies in who owns the music and where it comes from. Good streaming devices can handle both.

I have CDs and records – why should I stream?

Mainly because of convenience and selection: You can discover new music before you buy it, you have internet radio and podcasts on board, and you can supply multiple rooms. Streaming doesn't replace a collection – for most of our customers, it complements it. Many even buy more records since they started streaming, because they find more new music.

Which streaming service is right for me?

That depends on three things: what sound quality you want, how well the catalog matches your musical taste, and whether your streaming device supports the service. The third point is most often forgotten and causes the most trouble later. Use the trial months and test with recordings you know well.

What do 320 kbit/s, 16 Bit/44.1 kHz, or 24 Bit/192 kHz mean?

The kbit/s specification stands for lossy compressed music – the higher, the less has been removed. 16 Bit at 44.1 kHz corresponds to CD quality and is lossless. Higher values like 24 Bit at 96 or 192 kHz are referred to as Hi-Res and are technically above CD level. The sampling rate describes how often the signal is captured per second, the bit depth how fine the volume gradations are.

Is Hi-Res really audible or just marketing?

Honest answer: The clearly audible leap is between compressed and lossless quality. The step from lossless to Hi-Res is much more subtle and is controversially discussed – some listeners perceive it, others don't. Recording quality, system, and room usually have a stronger effect in practice than the format. Our recommendation: Aim for lossless quality, gladly take Hi-Res with you, but don't base your system on it.

Isn't my phone or laptop enough?

Absolutely for trying it out. In the long run, two things usually bother people: the ease of use – a call interrupts the music, the battery runs empty – and the limited sound quality of the output. A dedicated device fetches the stream itself from the network and makes your phone a pure remote control.

Do I need fast internet – and is Wi-Fi good enough?

Audio streaming requires little bandwidth; any normal connection is sufficient. Problems almost always lie within the home network. If possible, connect the streaming device via network cable – this is the most reliable solution and usually eliminates dropouts immediately.

What is the difference between Bluetooth, AirPlay, and Spotify Connect?

Bluetooth transmits directly from your phone to the device and always compresses the audio. AirPlay runs over your home network and is of better quality. With service-specific Connect functions, the streaming device fetches the music directly from the internet, and your phone is merely a remote control – this is the best way in terms of sound and daily use.

What happens to my music if I cancel my subscription?

Access to the catalog ends – a subscription is a rental, not ownership. Playlists usually remain stored with the provider in case you return, but can often also be transferred to another service. Purchased downloads and your own collection are not affected. This is precisely why many listeners consciously keep a physical or purchased collection for the music they don't want to do without.

Can I integrate my own CD collection?

Yes. You can rip CDs losslessly to a computer or NAS; most streamers and streaming amplifiers can then access them and display them in the same app as the streaming services. Some devices also read USB storage directly. When buying a device, specifically look for this capability if it's important to you.

Unsure where to start? Talk to us

Streaming is one of those topics where a twenty-minute conversation often yields more than hours of reading – because the right solution depends heavily on what you already have, how you listen, and what your home looks like.

Call us or write to us about what system you have and what you envision. We will tell you honestly whether a device is worthwhile, which path suits you – and also when you don't need to buy anything at all.

And if you like: Come by and hear the difference for yourself. This is often the quickest way to clarity on this topic.

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Author: Frank Buck

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