No, lossless is lossless so all else being equal no difference of audio
quality.

Things with slimserver you gain with FLAC is that the SB2/3 will
benefit from FLAC by allowing the decoding to happen on the SB thereby
reducing bandwidth by ~1/2 and allows you to FF and REW within a track.
Since decoding also does not happens on the SB with FLAC you reduce the
CPU load on the server.


-- 
m1abrams
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