The PS3 only supports any form of DTS, and Dolby lossless, when playing a BD or AVCHD. Otherwise it does play M2TS files. My TV even plays M2TS files with Dolby Digital audio straight from a USB stick or over the network.

Pioneer PDP-5020FD, Marantz SR6011
Axiom M5HP, VP160HP, QS8
Sony PS4, surround backs
-Chris