Instructions on how to get Pulseaudio working on your slug. It takes a bit of work to get it working and performance has yet to be evaluated. If you are looking for an pain free soultion to streaming audio consider a commercial platform such as an Apple Airport Express.
The slug handles PulseAudio quite ok given it's specifications. Pulse CPU usage is 15-25%. The biggest bottleneck seem to be network performance. This is probably related to Pulse using TCP.
1. Connect USB soundcard and confirm that it shows up $ lsusb
lsusb should list something like: Bus 001 Device 002: ID 05e3:0608 Genesys Logic, Inc. USB-2.0 4-Port HUB
2. Install alsa and madplay
3. Copy an Mp3 file to your slug directory and Play a file using Madplay.
If you hear sound everything should be fine.
For some reason no /etc/dsp shows up for my card and Madplay throw me the following MPEG Audio Decoder 0.15.2 (beta) - Copyright (C) 2000-2004 Robert Leslie et al. audio: /dev/dsp: No such file or directory
I found a solution for this: http://groups.google.se/group/linux.debian.user/browse_thread/thread/8aed68261457d77e(approve sites)
I get the following error Setting up oss-compat (0.0.4+nmu2) ... FATAL: Module snd_seq_oss not found.
anyways, /dev/dsp is added and Madplay now works.
4. Install pulseaudio ignoring the unnecessary recommended packages to save space on the device.
5. Configure pulseaudio server for network access
More to come..