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Sure there is, lots of current sound cards have drivers that offer Dolby Digital Live encoding. Even onboard offerings from Realtek now have DDL.
I guess OP means a freely available encoder that works with any sound card and any SPDIF output.
I may be possible to hack CMedia or Realtek's implementation to work with any device or something like that, but I have not heard about any other encoder available at this moment.
5 years ago there's was something called Real-Time AC3 encoder, but I don't know at what point of development that project is. Most likely it is dead as the cost of development exceeds the cost of the cheapest CMedia card with DDL output.
Here's the link - http://www.hardwareheaven.com/gener...ocnexk-released-realtime-5-1-ac3-encoder.html
Exactly, I meant something like the AC3 filter but that would work with games.
I heard about a Realtek DDL hack a couple of years ago, but apparently it wasn't worth it.
The AC3 encoder you mention was for Creative labs sound cards. Audigy and later IIRC. I think the project is dead, besides I don't think it would work on Win7 64bit
What sound card are you using?