I wasn't totally clear on what the OPUS No3 pure audio system by Olive was but when they asked me if I'd like to borrow one to evaluate for possible review I said, "sure." I mean it's not every day I get offered a $1,000+ audio system to play with.

So I visited the Olive Web site and read their FAQ page:

What is an OPUS pure audio system?

An audio system to show off in your living room with a total focus on the music experience, as to high-end components used, features and user interface, services and other software. It lets you

• store all of your music and have it at your fingertips as single songs, albums or works, and playlists,
• manage your music library, add to it, groom it, export to CD,
• play CDs like a regular CD player,
• stream your music to different rooms, to other players,
• stream & play music from your network and the internet
  

and frankly, a whole lot of other functions that round out your listening experience. You control the OPUS with controls on the actual system, by infrared remote control or even via the web with the Rondo interface.

(read the whole FAQ page here)

To be honest, even after reading it I still wasn't totally clear on what the thing was or why I might want one. But after setting it up and playing with it for a month or so, I think I get it -- it's a stand-alone hybrid device that is part computer, part wireless network device, part Internet radio receiver, and more. It has its own internal 160 or 250 GB hard drive, can rip and burn audio CDs, and play music through any stereo system. If it's connected to your wired or wireless LAN, it can also stream music to other network devices including iTunes on your computer, play Internet radio stations or stream them to other network devices, or play music streamed from iTunes Music Libraries.

When you order an OPUS device from Olive you have the option of sending them your CD collection having it ripped and preloaded onto your player. That service is priced as follows:

It's not cheap but if you have more money than time it could be an attractive option.

You can also order your OPUS preloaded with DRM-free music selected by Olive and encoded (using FLAC, the Free Lossless Audio Codec) at up to 7 times the audio resolution of other music download Web sites. Olive sells a variety of "playlists" (priced at $32.50 apiece for 25 tracks) and "collections" (priced from $168 for 200+ tracks).

Here's what the OPUS No3 looks like:

The system includes a full-featured wireless remote control, but since it's a network device, it also offers a nifty Web interface that lets you control every aspect of it from a Web browser on any other device on the network such as your Mac or PC, iPhone, and/or iPod Touch.

Everything worked as promised. I tested it with three different audio systems: The 5.1 surround sound system in my den; the powered reference monitors in my studio; and the Audioengine 5 powered speakers in my office. I also tested it using a variety of different headphones and earphones.

Olive provided an assortment of FLAC-encoded files on the hard disk of my loaner system and there is no doubt in my mind that they sound better than the same tracks ripped as MP3 or AAC files at a bit rate of 128 or 160 (like most of the tracks in my iTunes Music Library). Regardless of which system or earphones I was using, the FLAC tracks sounded better than the compressed (AAC or MP3) versions of the same songs.

How much better? Therin lies the rub. I thought the FLAC versions sounded noticeably cleaner, with better-defined bass than their MP3 or AAC counterparts. I could discern individual instruments better and the overall sound was generally clearer to my ear. My family, on the other hand, thought they (FLAC vs. AAC or MP3) sounded about the same no matter what I told them to listen for. So, while I think the Olive-supplied FLAC files sounded better than my MP3 and AAC files, my less-enlightened family members didn't hear much (if any) difference.

I also performed another test by ripping some tracks from CD using the Apple Lossless codec. In this case I couldn't tell the difference between the FLAC encoded and the Apple Lossless encoded versions of the same tracks regardless of which speakers, headphones, or amplifier I was using.

So caveat emptor.

The Bottom Line

The OPUS No3 is a superb piece of audio gear. It works well and sounds great. That said, I wouldn't pay $1,100 for one. While I admit it sounded better than my existing iTunes collection, I've already ripped thousands of tracks and for the most part am satisfied with the compressed versions. Put another way, I wouldn't spend the money or time to convert some or all of it to a lossless format for use with the OPUS No3. My Mac and Audioengine 5 speakers in the office and Apple TV in the den are good enough for me.

On the other hand, if you don't already have a substantial number of tracks in iTunes and can afford an OPUS No3, you'll enjoy a versatile, great sounding network device that can manage, store, rip, burn, play, and stream music with the highest possible fidelity.