Updated to proposed kernel today (2.6.38-9)and tested the sound system again. To use the right terminology, options at Input connector are: Rear Microphone, Analog Line-in, Front Microphone. Front and Line-In are mute, no device connected. Since I could see changes on the input level with Sound Recorder, depending on the volume level, decided to reinstall Skype and let it control the Mic level. There's actual recording but the level of the voice signal is much lower than the white noise. Observed that if Mic is on, the output volume cannot be set above 80% without output distortion. Playback from a sound file is normal.
Updated to proposed kernel today (2.6.38-9)and tested the sound system again. To use the right terminology, options at Input connector are: Rear Microphone, Analog Line-in, Front Microphone. Front and Line-In are mute, no device connected. Since I could see changes on the input level with Sound Recorder, depending on the volume level, decided to reinstall Skype and let it control the Mic level. There's actual recording but the level of the voice signal is much lower than the white noise. Observed that if Mic is on, the output volume cannot be set above 80% without output distortion. Playback from a sound file is normal.