> Does the sound blaster live value have a optical digital out?

no. (short answer)

The later (MP3+, X-Gamer, 1024 depending on region) versions have a
non-standard electrical digital out (which could be converted to optical),
or you can buy a Hoontech bracket that adds optical ports
 http://www.hoontech.com ) for around $20. I believe Creative offered an
official optical I/O upgrade at some point as well, at a much higher price
than the Hoontech one.

--
Simon

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