This whole thread makes me think of Pump Up the Volume. As a teen, we used to get together in one location and everyone would tune in to the same station and leave doors open or windows down so music was everywhere just like scenes in the movie. Doing that with streams makes this impossible. Even with the popularity of streaming, if there was a station with a show that catered to the teen hang out like this I can see it regaining popularity.
The biggest problem is failover configuration and the needs of programmatic advertising insertions. So most providers will have you carry at least a 60 second buffer to start, but possibly closer to 120 seconds in most observed cases. Then as you listen an ads are inserted, or removed, the amount of delay between your audio and the live edge changes.
We could solve this, however, the royalty rates on music and other content are so high, that it would be insane to pay for that as well as the bandwidth and not get programmatic revenue back from it.