I just picked up the Philips Acoustic Edge. I am upgrading from Aureal SQ2500.
I chose the Philips because:
1) Usually lower CPU usage than SB Live!
2) Dolby 5.1 Capability, like SB L!
3) Virtual 5.1 Surround on headphone, 2 or 4 speakers on all applications.
#3 was really the kicker for me. I have Altec Lansing ACS-44 (2sp w/ sub) set-up. It sounds great, but I don't want to "throw" away this set of speakers to get a 5.1 set. Plus, I have nowhere to put the rear speakers.
If the SB L! had #3, I would have bought that.