The online chat is actually sent through XBL / PSN Servers over the Internet. The audio is data compressed and may not be of very high sound quality. This will also depend on your location, local Internet traffic, etc.
You may find that chat channel voices coming over the headphones sound "like robots" or "computery." If you are hearing the chat channel with full high-fidelity reproduction for the first time - it may sound a bit "digital." This is normal for both platforms the Xbox 360 and PS3.
The reason is that the voice channel is transmitted at a very low bitrate/sampling rate, sort of like a heavily-compressed MP3. There is not much bandwidth available for chat transmission and reception, so the sound quality has to be compromised a bit. Again, this is normal for the Xbox and not a problem with the operation of the Turtle Beach microphone or headphones.
Until the available bandwidth increases, which will also improve the sound quality, unfortunately there is no fix for this issue.
Please note this issue is also present with Bluetooth. When using Bluetooth the audio quality will always be inferior to analog connections. As a result, using Bluetooth in conjunction with the
already mentioned compression of PSN/Live may result in "tinny" or "robotic" chat. This is just a result of the compression and is normal. Not a fault of the headset or Bluetooth chat.
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