That's right you can go with the ModMic USB or Wireless, both delivers great sound quality.
I will stay with the ARC MK1/MK2 if you are using a 4 pole headset, where the speakers and mic share a ground.
If you are using a audiophile headphone and separate microphone (modmic USB or Wireless) gives you more freedom.
You don't necessary need the Arc, you can achieve similar level of amplification and clarity with the
JDS Atom for only $99 usd (
and maybe a HDMI Audio splitter, if your Monitor doesn't have Audio out).
Next will be the JDS EL DAC II + Atom ($400), which sound performance might be 10% better than the Arc (I don't think is worth it, for +120 usd).
Budget and investment wise over the Arc the only thing will be a huge leap up will be THX Monolith 124459 Desktop DAC/Amp ($450), THX certification, balanced inputs, professional studio DAC/Amp and hardware parametric EQ. This will be a 30% sound improvement, but we are in the valley of "overdoing it", this equipment will fit more to some one who besides playing videogames, produce Music.
How much is too much?.This is the thing guys, you should pay more money for higher fidelity but only on music production, this doesn't apply as gamers.
Putting on simple words: as gamers we don't play a video game and say:
"Hey that AK-47 doesn't sound real (assuming you know how a real AK47 sounds) its burst sounds too metallic, the grunting of this beast doesn't sound accurate" - No.
What we need is great dynamic range, clear precise positional sound, fast bass and wide sound-stage.
Your headphone play a main role on it, but it needs good DAC/Amp to perform at its best.
Next, I will break down the types of DAC's and Amps and its budgets and an estimate of what you can expect from it, in gamers terms how well will help you to improve your gaming experience.
Gaming Audio DAC / AMP Breakdown:Low (Budget: Free < $30)
Performance:
Basic.- Controller
- USB soundcard
- Sound BlasterX G1
(best)Good: (Budget: $35 - $135)
Performance:
Better volume, good detail, surround and stereo separation. Sound-whoring can be done in some extent, preferably surround off. - TurtleBeach DSS2
- SBX G5
- Hyper X Amp
- MixAmp
(best)Above Average: (Budget: $140 - $350)
Performance:
great detail, immersive surround, better sound imaging (position), good for sound whoring or competitive gaming.- MixAmp (with right preset) + external Amp
- Sound Blaster X7, Asus Zonar
- Micca Origen G2
- Sound BlasterX G6
(best) - Worth mention: you can find SBX G6 on $100 and sounds better than any of these, very close to the next category.
Excellent: (Budget: $250 - $450)
Performance:
Excellent detail, outstanding sound imaging, you can estimate precisely sound cues position, movement and distance, left, right, behind and even top or bottom. Best for sound-whoring and a radar for competitive gaming.- Schiit Modi DAC + Magni Amp
- Mayflower ARC MK1/MK2
- JDS El DAC + Atom
(best)Level God: (Budget: Over $600)
Performance:
Godly, all previous, sound performance is just like the game engineers design and record the game audio at the studio.- JDS EL DAC II + EL AMP II
- THX Monolith 124459
- Cavailli Carbon X + SDAC
- Airist DAC + THX AAA 789
(best)Mayflower is convenient, because it's an all-in-one, driverless nature and compatibility with consoles + mic input. To make a similar device you need to stack a $300 Dac with a over $100 headphone amp. Schiit Hel its the direct alternative, subtle better sound performance, mic interface and better pricing but its only compatible with PC.
For clear positional audio, great sound stage delivery (through a good open-back headphone)
anything on the Above Average and
Excellent does it effectively in a way that will give you a clear advantage. More than that doesn't matter, you are not getting more for what you are paying for, the Monolith THX might be a exception if you know how to EQ.