spdif ouput via headphone jack on laptop?

I have an HP laptop(get the model number in abit, dont have it with my right now) but on the laptop where the headphone jack is, it says "SPDIF." Does that mean the headphone jack can output digital audio(like 5.1 for dvds an stuff), if so, then how do I hook it up. Is it using coax?

There should be a setting in the drivers to change the port from line-in to digital-out. Youll need a 3.5mm mono to RCA phono adaptor to plug a digital coaxial cable to it. Theyre about $5 at Radio Shack.