I'm having a hard time setting up my system. I have a Sony 50" LCD, JVC THC6 HTIB and a HD cable box. I have every type of cable and am looking for the best overall hookup. Originally I ran HDMI from the HD box to the TV. Then the optical cable from the TV to HTIB and component cables from HTIB to TV. I was able to get a picture, but could not get cable to come through the HTIB for surround sound. Then I ran the HD cable signal through the receiver via S Video and then component to TV. Was only able to watch DVDs...not the cable feed.
Either that HD cable box doesn't support audio through its HDMI out (do you get audio through the TV's speakers with only the HDMI hooked up to it?), or there may be a setup issue on activation of the TV's optical output. Check with your cable company on the first, and your TV's owners manual on the second.
and component cables from HTIB to TV.
If the TV's HDMI input occupies the same input as one of the TV's component inputs, you should make sure that HTIB component feed isn't on the same input as the cable box HDMI feed.
Then I ran the HD cable signal through the receiver via S Video and then component to TV. Was only able to watch DVDs...not the cable feed.
Even if your HTIB upconverted S-video to component, which it doesn't, this hookup is wrong in terms of best video performance.
I think your problem lies with the fact that your cable box only supports digital audio via its coax (aka S/PDIF) output, and your HTIB has only a lone optical input. Coax to optical converters exist, and one of these may be the final solution to your problem.