Paul, the start up probably only get paid by cost per click like most add supported websites. But, they are charged for every song you play from them. At some number of songs without clicks you stop being profitable and this is the choice they've made to stay in business. I got an email telling me I would probably hit the limit and explaining the situation. Since, IIRC, the cost to keep listening is only a few dollars it's a good deal for me.

Yall should also know about www.grooveshark.com for when you want to listen to a certain song. It's like YouTube for music. Pandora's major competitor is www.last.fm, but I don't like it as much as Pandora, it isn't as simple and direct.