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UPDATE: I decided to do an experiment with this issue. Because the problem was happening with audio-only files also and video was briefly working on YouTube (a few frames played), I decided to see what happens when audio is routed through a different device. I used a cheapo sabrent USB device I had lying around. Since changing the audio output, the Mi Box has not had the freezing video issue. Yet.

Does anyone else with a spare USB audio device want to try this test on their Mi Box and see if they have the same results?

EDIT1: Correction, it is a Mi Box 3 not Mi Box S

This issue started after an update a few months back, I think December, and I assumed Xiaomi would notice the problem and quickly send another update to fix it, but it never happened.

If the unit goes into suspend mode, upon wakeup the unit cannot properly play video or audio. Video, like YouTube, will show a frozen image from the video but not properly playback anything. Restarting the unit fixes the problem for all apps.

Has anyone else had this issue and found a solution?