The ATI drivers weren't behaving properly. They worked fine in stereo, but whenever I tried turning them into 5.1 in the control panel, it would tell me there was some error doing it. I gave up and switched to Realtek.
Looks like there's no way around that new sound card. I guess I wouldn't mind swinging an extra $100 or so. I'd love a suggestion or two to a specific card.
Ideally I would like to pick up one of those that mixes the audio into the HDMI to minimize cabling that was mentioned up there. I honestly don't know where to begin with sound cards!
Thanks for the help guys!
The only way(s) to mix into HDMI is to:
Get the expensive Auzentech card, runs $200-$250.
Or
Get an older nvidia card, they didn't have HDMI audio built in so they used a pass through from the motherboard via a cable. Maybe newer cards can still do that?
I've also seen some external adapters (no-name chinese stuff) that can bridge a digital picture and spdif audio into one.
As for cards:
The Asus Xonar cards are cheap and very highly rated. However, some games do rely on Creative's proprietary APIs for proper surround sound (pretty much every EA game), so there's good reason to want a Creative sound card. Something like X-fi Fatal1ty Professional.
And to the other people in the thread getting 6 channel surround sound from games:
You're not doing Dolby Digital Live. You're doing 6 channel LPCM, the digital equivalent of running a separate cable for each sound channel. Not every video card supports this (I think ATI only got it as of the 5xxx series, still not sure if nvidia has it) and not every receiver supports it, older ones certainly don't, and I still think it's primarily a high end feature on newer ones.