Regarding the lag issues, there are a couple ways to minimize it if you research it on the internet.
First is LatencyBuffer, which defaults to 4, which is avaialble to change in-game and in the rocksmith.ini file.
Next, is MaxOutputBufferSize, which is a setting only available in the rocksmith.ini.
Basically, you want to set it at the lowest latencybuffer that you can get without any crackly or distorted sounds. Once you've done, this, you can start decreasing MaxOutputBufferSize to fine-tune the audio delay. Start by halving the MaxOutputBufferSize each time when you test.
Generally, a good dedicated soundcard will allow you to have lower latency, whereas some builtin soundcards like the realteks may have to deal with higher latency.
Granted, this only deals with OUTPUT latency, which is the latency that generated by your computer. There is also INPUT latency that you may have to deal with depending on your audio setup. If you're using headphones straight to your computer, then this is probably not an issue. However, if you're using something like a receiver with lots of dsp processing and decoding chips in it, then it may introduce lag.
To combat this, use analog connections when possible when connecting your audio cables to your Receiver. On my Onkyo 805, i found that the analog multichannel inputs have no audio delaywhatsover, whereas the rest of the inputs introduce some delay.
If the game plays in slow motion, make sure your sound card is playing at 44.1 khz
Mine started out with the speech parts sounding lliikkeee hhhee jjjuusssttt wwwookkkeee uppppp Only to discover there was a mismatch in audio rates.
Also, if you can change the latency settings on your sound card, I found setting them around 4ms removes the crackles I was experiencing at higher rates. That is counter-intuitive because normally one would think higher latency values would reduce crackles.... but no.. in this game it seems to enjoy 4ms.
The best deal is to purchase this as a download, then download the rocksmith no cable fix (so you can use a standard 1/4 - 1/8 cable.) Then checkout out the awesome community at smithyanvil.com where they have been making sweet custom songs. The best part is that the custom song scene has been gaining a lot of traction lately and the quality is starting to rival Rocksmith produced tracks.
Thanks OP, I wanted the cable in case I ever decide to play on a console with friends, and I would prefer that the game work, not be screwed around with a "no cable fix" that breaks parts of it and requires torrented patches.
My computer is 5 years old and I have absolutely no lag problems, it plays great at 1080p. It's not an intensive game at all.
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