OK, from the knowledge I have always received/heard, PCM is decoded at the PS4,Bitstream is decoded at the AVR. My question is with the PS3, all you heard was to use PCM as it was best for the PS3. Now when I look around the web everyone, well most everyone, says to use bitstream from the PS4 and let the audio get decoded at the AVR. Unless you’re playing a video game then let the PS4 decode that (PCM). The reason why heard a video game set to PCM is because the PS4 will know where the sound should be and will decode properly there, but movies are already coded so it’s best to let the PS4 bitstream to the AVR and decode it in the receiver.
Correct me if I’m wrong, but I would like to know if I’m right. Because I’m trying to figure this out myself