I am most certainly not a typical music consumer. I tried Pandora and my main interest in it was having it suggest music I didn't know that was similar to music I liked. But I found that it didn't really do that. Either it suggested stuff I already knew, or things that weren't similar at all. Algorythms won't work for me, because my musical tastes aren't typical. I had a similar experience with satellite radio... A hundred different stations I didn't want, and a handful that played stuff I've heard a lot of already.
I do like the diversity in internet radio, so I haven't given up on streaming. It's just that the gene pool needs to be diverse enough to allow a real variety of all types of music. For now, I'm happy ripping my CD collection into itunes. No one knows my tastes better than me.