I have zero issues with my Denon receiver playing Atmos content from my ATV. Thankfully I don’t have to deal with ARC, but it sounds like something in your signal chain doesn’t support it properly. It seems like the only thing limited here is your setup. Does your TV support eARC? And how many other streaming media players out there have 2 HDMI outputs?As nearly as I can tell the ATV supports Atmos in a very limited way. The problem lies in streaming an Atmos signal from the ATV to a television receiver. As per Apple's instruction page devoted to Atmos,you need to have one HDMI cable leading to your soundbar or receiver and a second one leading from that to your t. v. Which is fine if you don't happen to own a soundbar with only a single HDMI port such as the highly popular Sonos Arc. Possibly the problem could have been addressed by adding a second HDMI port to the ATV but the new version still has the same old single one. The Arc -- and presumably a lot of other soundbars as well -- doesn't support Bluetooth streaming so there's no possible help there. (Don't bother reminding me about the HDFury signal splitter, I tried it but never could get the damn thing to work properly, partially because the instructions that came with it were so unhelpful and contacting the mfr. got me nowhere.) Surely somehow Apple could have recognized this problem and addressed it. If it had, I would have been happy to buy one. Since it didn't and since I'm not a gamer, I have no conceivable use for the new model. Reading other posts in this thread, I see that plenty of folks agree with me.
Maybe Bluetooth would solve the problem. Or some further exploitation of Air Play technology? If so, and maybe if Apple had put Bluetooth in the original Home Pod,* they would have sold a lot more of them and Apple wouldn't have felt the need to discontinue it. In some way or other the Home Pod, Home Pod Mini and a matching sub could have been combined into a fine home theater setup, ideal for handling spatial audio. So I think I'll stick to my original point: Apple had the capacity to come up with a first-rate home theater setup, They were sitting on a potential gold mine but they completely blew it thanks to corporate lack of imagination and indifference.
* - Actually it did have Bluetooth, useful only for the original setup routine. For a long time I hoped that this situation could have been changed by a simple firmware update but eventually I gave up and replaced my Apple speakers with Sonos ones which did everything I wanted right out of the box.
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