Currently running ChannelsDVR on iMac M1 always on. Happy with setup and function. Not happy with always on requirement. If I used a Synology DS720+ running DSM 7 would it be better or worse?
What do you mean by “better or worse?” Whatever server you use it will have to be always on. There are some that have had some success allowing their server to go to sleep and wake up when needed but it seems challenging to get working 100%.
Or are you just wanting a server that consumes less power?
Sorry for the confusion. I'm interested in smoothness of playback/transcoding etc. The iMac has a better CPU than the Synology and I'm happy with the playback. I'm not happy having my main computer acting as the server for ChannelsDVR. If I restart it or do an OS update my server is down and I could miss recordings. My Synology is always up and could be placed in a location that would be quieter and less less possibility of waking and have the screen be bright. But I worry that the quality of the video playback might suffer.
Sounds like you already answered your own questions.
If you do alot of remote streaming that needs transcoding, then the most powerful hardware you can use is best to keep up and handle the load. Also, more powerfull the cpu, the faster comskip will run.
So if performance is top priority to you, stick with the M1.
If you want to not have to leave the M1 on 24/7, then move to the NAS, it is plenty powerful enough to handle the average user usage load.
Home Video quality is the same no matter what server device you use.
I do not remote stream, so never transcode, and i moved from a powerful 4 core 4ghz i7 system to a RaspberryPi4 as my Channels sever and saw no loss in video stream quality.
The quality of the playback won’t suffer. The only real difference between the two will be transcoding ability. Are you often transcoding multiple streams at once? If not, the Synology will be fine.
Several others have mentioned transcoding. The other thing to suffer will be comskip. Your M1 probably flies through comskip. The Synology will be a little slower. I have a DS918+, which takes about 5 minutes per hour of video to flag commercials when I use two processors.
That being said, I love the Synology and I think the small loss in transcoding and comskip is well worth not having to have my primary computer on all the time. So, go with the Synology! 
I started with Channels DVR in my iMac and have since purchased a DS720+ dedicated to Channels. I have not noticed a drop in performance or availability and I appreciate having freed up my desktop. Good luck making the choice that works best for you.
Thanks to all responders. Great community!!
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