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Self-hosted Jellyfin CPU or GPU for 4K HDR transcoding?

Hey everyone, I'm building a new server to run Jellyfin (with a few other services like Pi-hole) and I'm stuck on GPU or CPU transcoding.

My main concern is smooth 4K HDR transcoding for 1 stream. I've been reading mixed advice online – some people say a strong CPU with good single-core performance can handle it, while others recommend a dedicated GPU.

Should I focus my budget (~$1000AUD/$658USD) on a good CPU, or spend some of it on a dedicated GPU?

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