So much cluelessness and misinformation in this thread.
The "High Definition Audio" (HDA) designation is not just some meaningless marketing ploy. It's actually a logo certification program by MS under which PC audio systems must meet rather rigorous technical requirements subject to testing per relevant AES specs using Audio Precision hardware and software (just like most high-end audio equipment manufacturers use).
For example, see:
http://msdn.microsoft.com/en-us/library/ff563343%28v=vs.85%29.aspx One component of the onboard HDA solution is implemented in the chipset (i.e., "Intel HD Audio") which receives and transmits serial digital audio data streams to/from a codec chip (typically a Realtek or VIA audio codec chip) which among other things handles necessary ADC and DAC duties as well as analog and digital processing. The typical HDA codec chips are capable of handling multi-channel 192kHz/24-bit streaming I/O, so actually quite technically advanced little chips with quite decent audio performance. Also, as part of HDA certification requirements, MS has required that HDA codecs be supported with low-latency/low cpu-load WaveRT drivers.
That said, motherboard and system manufacturers may not take necessary care to assure clean noise-free audio performance in their products, or even if they do, there can be other factors such as noisy power supplies and laptop power adapters as well as power regulation and cooling fan controls which impact negatively upon audio quality.
Now as for why the OP's older AC97 version onboard audio sounds better than the OP's newer HDA onboard audio, dunno. Maybe ithere is an HDA driver issue, which an updated driver will resolve. Or maybe it's due to some vendor-installed audio mixer/fx crap. Or possibly it's just a crappy newer laptop. Or perhaps there is a gound loop problem occurring with the newer laptop's power adapter (in which case, it would likely also affect an external audio interface when connected to the laptop).
Point being, it may well have absolutely nothing to do with the differences between AC97 and HDA.
Lots of possible causes, and yet it seems the prevailing clueless advice has been to dismiss onboard audio as crap and insist the OP spend for an interface, along with spreading a bit more misinfo around.
Oh my, the mindset around here is truly an audio interface vendor's dream come true.