[dajoe]

I don't know about libreelec as I use osmc. I had some findings when looking why the squeezelite service wasn't properly found:

1. make sure suqeezelite knows its MAC address. I use the squeezelite from dpkg and on osmc it starts too early before network is up and doesn't configure its MAC address. So I pass it to squeezlite manually with the -m switch. BTW, you can also specify the MAC of another player on the network in the kodi plugin settings which is also great if you want to monitor squeezelite running on a different box.
   
2. make sure both kodi and squeezelite can access the audio device. I think that kodi requires access to the audio device even if playing back a silent audio track. OSMC doesn't use pulseaudio by default so I installed it. Finally I decided to run pulseaudio as a system service on boot so both kodi and squeezelite would be able to access it. You can manage pulseaudio on your box from a linux pc by setting the PULSE_SERVER environment variable to your box hostname and running pavucontrol or paprefs (load the module module-native-protocol-tcp with options auth-anonymous=1 auth-ip-acl=127.0.0.1;192.168.1.0/24 or whatever your local ip range is)
   

The issue that the squeezebox kodi plugin would stop playback right after start seems not be related to the squeezelite version for me.