Environment:
OSX (10.12), StudioLive Series III connected via USB
All software and firmware is up-to-date.
I have set the Audio Output to 37/38 on my Mac, and configured the Tape in as USB per presonus.com instructions.
What works:
Spotify, YouTube, system sounds, Chrome browser audio, basically anything that isn't audio software.
Issue:
GarageBand, Capture and StudioOne are able to record tracks from the StudioLive, but even with their output device set to the StudioLive, no playback is heard, and no channels exhibit any line level coming in. Note that I can playback with the computer, so verified that the audio is recording as expected. Also note that other non-audio programs (YouTube, Spotify, etc.) work as exepcted and playback fine through the Tape IN channel.