diff --git a/packages/audio/alsa-lib/build b/packages/audio/alsa-lib/build
index 4141a5190a..3232429097 100755
--- a/packages/audio/alsa-lib/build
+++ b/packages/audio/alsa-lib/build
@@ -12,6 +12,7 @@ cd $PKG_BUILD
             --build=$HOST_NAME \
             --prefix=/usr \
             --sysconfdir=/etc \
+            --with-plugindir=/usr/lib \
             --localstatedir=/var \
             --disable-static \
             --enable-shared \
diff --git a/packages/audio/alsa-lib/install b/packages/audio/alsa-lib/install
index 617e0155bf..cbfc9383d5 100755
--- a/packages/audio/alsa-lib/install
+++ b/packages/audio/alsa-lib/install
@@ -4,9 +4,10 @@
 
 mkdir -p $INSTALL/usr/lib
 cp -PR $PKG_BUILD/src/.libs/libasound.so* $INSTALL/usr/lib
+cp -PR $PKG_BUILD/modules/mixer/simple/.libs/*.so $INSTALL/usr/lib
 
-mkdir -p $INSTALL/usr/lib/alsa-lib/smixer
-cp -PR $PKG_BUILD/modules/mixer/simple/.libs/*.so $INSTALL/usr/lib/alsa-lib/smixer
+#mkdir -p $INSTALL/usr/lib/alsa-lib/smixer
+#cp -PR $PKG_BUILD/modules/mixer/simple/.libs/*.so $INSTALL/usr/lib/alsa-lib/smixer
 
 mkdir -p $INSTALL/usr/share/alsa
 sed 's%.*~/\.asoundrc.*%%' $PKG_BUILD/src/conf/alsa.conf > $INSTALL/usr/share/alsa/alsa.conf
diff --git a/packages/audio/alsa-utils/_init.d.old/40_alsa b/packages/audio/alsa-utils/_init.d.old/40_alsa
index 90e31b7b56..24d0a92078 100755
--- a/packages/audio/alsa-utils/_init.d.old/40_alsa
+++ b/packages/audio/alsa-utils/_init.d.old/40_alsa
@@ -4,8 +4,13 @@
 #
 # runlevels: geexbox, debug, configure
 
+. /etc/funcs
+
 echo "### Setting up sound card ###"
 
+make_persistent file /etc/audio /var/data/config/audio
+make_persistent file /etc/asound.conf /var/data/config/asound.conf
+
 # include audio configuration file
 . /etc/audio
 
@@ -21,16 +26,16 @@ mixer() {
 mixer 'Channel Mode' "${CHANNELS}ch"
 
 # set common mixer params
-mixer Master 100%
-mixer Front 100%
-mixer PCM 100%
-mixer Synth 100%
+mixer Master 90%
+mixer Front 90%
+mixer PCM 90%
+mixer Synth 90%
 # mute CD, since using digital audio instead
 mixer CD 0% mute
 # Only unmute Line and Aux if they are possibly used.
 if [ -e /var/use_dxr3 -o -e /var/tvcard -o -e /var/dvbcard -o -e /var/digimatrix ]; then
-  mixer Line 100%
-  mixer Aux 100%
+  mixer Line 90%
+  mixer Aux 90%
 else
   mixer Line 0% mute
   mixer Aux 0% mute
@@ -38,78 +43,78 @@ fi
 # mute mic
 mixer Mic 0% mute
 # ESS 1969 chipset has 2 PCM channels
-mixer PCM,1 100%
+mixer PCM,1 90%
 # Trident/YMFPCI/emu10k1
 mixer Wave 100%
 mixer Music 100%
 mixer AC97 100%
-mixer Surround 100%
-mixer 'Surround Digital' 100%
-mixer 'Wave Surround' 100%
+mixer Surround 90%
+mixer 'Surround Digital' 90%
+mixer 'Wave Surround' 90%
 if [ "$CHANNELS" = 6 ]; then
   mixer 'Duplicate Front' 0% off
 else
-  mixer 'Duplicate Front' 100%
+  mixer 'Duplicate Front' 90%
 fi
-mixer 'Sigmatel 4-Speaker Stereo' 100%
+mixer 'Sigmatel 4-Speaker Stereo' 90%
 # CS4237B chipset:
-mixer 'Master Digital' 100%
+mixer 'Master Digital' 90%
 # DRC
-mixer 'Dynamic Range Compression' 100%
+mixer 'Dynamic Range Compression' 90%
 # Envy24 chips with analog outs
-mixer DAC 100%
-mixer DAC,0 100%
-mixer DAC,1 100%
+mixer DAC 90%
+mixer DAC,0 90%
+mixer DAC,1 90%
 # some notebooks use headphone instead of master
-mixer Headphone 100%
+mixer Headphone 90%
 mixer 'Internal Speaker' 75%
 mixer Playback 100%
 
-mixer Center 100%
+mixer Center 90%
 mixer LFE 90%
 mixer Center/LFE 90%
 
 # Required for newer Via hardware
-mixer 'VIA DXS,0' 100%
-mixer 'VIA DXS,1' 100%
-mixer 'VIA DXS,2' 100%
-mixer 'VIA DXS,3' 100%
+mixer 'VIA DXS,0' 80%
+mixer 'VIA DXS,1' 80%
+mixer 'VIA DXS,2' 80%
+mixer 'VIA DXS,3' 80%
 
 # Intel P4P800-MX  (Ubuntu bug #5813)
 mixer 'Master Playback Switch' on
 
 # Required at least for Via 823x hardware on DFI K8M800-MLVF Mobo
-mixer 'IEC958 Capture Monitor' 100%
+mixer 'IEC958 Capture Monitor' 0% off
 
 # Required on some notebooks with ICH4:
-mixer 'Headphone Jack Sense' 100%
-mixer 'Line Jack Sense' 100%
+mixer 'Headphone Jack Sense' 0% off
+mixer 'Line Jack Sense' 0% off
 
 # Required on some Vaio notebooks (B3XP):
-mixer 'External Amplifier' 100%
+mixer 'External Amplifier' 0% mute
 
 # Required for either Analog or Digital output
 mixer 'SB Live Analog/Digital Output Jack' $SBL_AUDIGY
 mixer 'Audigy Analog/Digital Output Jack' $SBL_AUDIGY
 
-# set SPDIF mixer params
-if [ "$SOUNDCARD_MODE" = SPDIF ]; then
-  mixer 'IEC958' 100% on
-  mixer 'IEC958 Output' 100%
+# set digital output mixer params
+if [ "$SOUNDCARD_MODE" = digital -o "$SOUNDCARD_MODE" = hdmi ]; then
+  mixer 'IEC958' 90% on
+  mixer 'IEC958 Output' 90%
   mixer 'IEC958 Playback AC97-SPSA' $AC97_SPSA
-  mixer 'IEC958 Coaxial' 100%
-  mixer 'IEC958 LiveDrive' 100%
-  mixer 'IEC958 Optical Raw' 100%
-  mixer 'SPDIF Out' 100%
-  mixer 'SPDIF Front' 100%
-  mixer 'SPDIF Rear' 100%
-  mixer 'SPDIF Center/LFE' 100%
-  mixer 'Master Digital' 100%
+  mixer 'IEC958 Coaxial' 90%
+  mixer 'IEC958 LiveDrive' 90%
+  mixer 'IEC958 Optical Raw' 90%
+  mixer 'SPDIF Out' 90%
+  mixer 'SPDIF Front' 90%
+  mixer 'SPDIF Rear' 90%
+  mixer 'SPDIF Center/LFE' 90%
+  mixer 'Master Digital' 80%
 else
-  mixer 'SPDIF Out' 100%
-  mixer 'Analog Front' 100%
-  mixer 'Analog Rear' 100%
-  mixer 'Analog Center/LFE' 100%
+  mixer 'SPDIF Out' 0% off
+  mixer 'Analog Front' 90%
+  mixer 'Analog Rear' 90%
+  mixer 'Analog Center/LFE' 90%
 fi
 
 exit 0
diff --git a/packages/audio/alsa/config/audio b/packages/audio/alsa/config/audio
index 8767d1064f..1b871d7dda 100644
--- a/packages/audio/alsa/config/audio
+++ b/packages/audio/alsa/config/audio
@@ -3,16 +3,17 @@
 # Soundcard's ID (0 for first card, 1 for second, ...)
 ALSA_CARD="0"
 
-# Output mode (SPDIF or analog)
+# Output mode ( analog/digital/hdmi )
+# digital is used for SPDIF/IEC958 output
 SOUNDCARD_MODE="analog"
 
-# SPDIF passthrough mode (none, ac3, dts or ac3dts)
+# passthrough mode for digital/hdmi outputs (none, ac3, dts or ac3dts)
 #   (Note: in analog mode this option is ignored)
 # none : software audio decoding for all streams
 # ac3 : enable hardware passthrough for AC-3 streams only
 # dts : enable hardware passthrough for DTS streams only
 # ac3dts : enable hardware passthrough for both AC-3 and DTS streams
-SPDIF_PT_MODE="none"
+SOUNDCARD_PT_MODE="none"
 
 # IEC958 Playback AC97-SPSA Mode:
 # 0. PCM1