Interesting take on DSD in 2013, and beyond from Linn. Of course, it is their opinion, and they are interested in selling Linn products.
"DSD was invented to solve problems that no longer exist today.
A good idea in 1999, DSD was conceived to improve the quality of music at home over the prevailing 16-bit CD format. By bypassing the down-sampling and up-sampling filters in the CD audio chain, DSD sought to improve performance by shortening the audio signal path:
However, DSD has been overtaken by modern technology; A-D and D-A converters have moved away from 1-bit, to far superior multi-bit processes, and the down-sampling and up-sampling filters that DSD sought to bypass have been rendered transparent by the use of higher sample rates and modern algorithms. In fact, DSD is now the quality bottleneck in the modern recording and playback chain.
The arrival of 192kHz 24-bit capable Linn DS players in 2007 signalled the end of DSD. There is no longer the need to convert the original Studio Master recording, which is usually in PCM format, to a DSD stream, because the Studio Master can now be decoded natively on the Linn DS player. Hence, a needless and lossy conversion from PCM to DSD has been eliminated.
DSD has, like so many audio formats, come to the end of it's natural life. It's time to move on."
The next few years will be interesting as we move away from CD quality sound, and into higher resolution audio.