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That won't work unless his computer has an audio pass through/capture card. There won't be any place on his PC to plug in the PS3 audio input. Unless he wants to use a Y adapter and plug the RCA stereo inputs into the mic input jack (don't do this).

Plus it's kind of lame if he has to power up his PC just to play games on a console.

He's going to have to sacrifice the 5.1 audio; there really isn't any way around that without implementing a more expensive solution, which is something I'm getting the impression he does not want to do.