I don't envy the position that sites like Pandora and imeem are in. Getting a fair shake with the major labels is tough. However, there is plenty of room to do

I don't envy the position that sites like Pandora and imeem are in. Getting a fair shake with the major labels is tough. However, there is plenty of room to do interesting things without touching music tainted by the Big 4 labels. We are doing it with Mugasha in regards to electronic dance music and TheSixtyOne is doing it with indie music. The niche is your friend, the major labels are probably not. Also, I think it's time to realize that basing your business model on advertising isn't working. These services are going to need to start getting creative with their business models and start making money on things people want and not things people hate (ads).