I went to this page: http://us.acer.com/ac/en/US/content/drivers.
I supplied model of my laptop. Downloaded the audio driver. Ran the installation, which was supposed to uninstall the current one, restart, install the new one, and restart. After the uninstall, it simply sat there until I gave up after 20 minutes and restarted laptop myself. I ran the install again, and apparently it had uninstalled the old one, because when I ran it this time it started in on the install. At the end, I clicked "restart now". Voila.
Now, when I open the Sound dialog box, and plug in the HDMI cable, I see the high def driver become available. Unplug HDMI cable, the high def goes away. It is very consistent, so now it seem straightened out.
I thought I might post this as a new topic with "solved" in the subject to make it easy for everyone to find this.