Nice review of the Roku Soundbridge M1001. I think Stereophile got it right regarding the Soundbridge M1001. However, I do want to point out a few things they missed.
(1) The Microsoft Media Connect 2.0 server software the reviewer used just plain sucks. It is a Microsoft problem, not a Roku problem. I would recommend using Firefly server software instead especially if you are using non-DRM music. I don't download music with DRM... I rip my own CD's to FLAC.
(2) The 48kHz upsampling in the Roku M1001 has been pretty well established on the Roku boards. If you want a non-upsampling model look for the original M1000 or the M2000 on the used market. I think the M2000 may be still available from Roku. These units output to 44.1 kHz as verified by my Musical Fidelity X-24K DAC. Both the M1000 and M2000 have regular analog RCA output jacks unlike the M1001 which has a mini output jack.
(3) For casual listening the DACs in M1000 and M2000 are adequate (when listening to Internet radio or lossy files). For critical listening (especially of lossless files), I would recommend an external DAC. I pass the digital signal to a Musical Fidelity X-DAC V3 in my main rig. I prefer it to my Rega Planet 2000.
(4) You can also control the Soundbridge from a desktop or laptop PC using Visual MR. It shows album art and playlists. It can be found on the Roku website or here: http://www.tl-it.de/media/pages/visualmr.php?lang=e
I love my Roku Soundbridge M2000 and M1000. Try and find one of those and use an external DAC.