There is a substantial difference between the 508.16 and 508.24 CDPs, and since the 563 DAC is based on 508 design, I suspect that the difference between the DACs is similar.
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The Meridian 563 did not come as a 16 bit dac but rather had over 19 bits resolution. Sonically the 563 is actually richer sounding, with a fuller midrange than the 24 bit. The 24 bit has greater clarity and is more dynamic with a tauter bass and and more treble extension but with a distant perspective which makes the instruments sound smaller. Overall, I definitely prefer the 563.