I am sure early music radio did not have to contend with RIAA when they broadcasted. I am not talking BBC-early, I am talking post-WW1-early. To achieve the maturity of a market any opportunity must be given the chance to gain currency, which is mostly viral by nature. Viral and organic.
Internet radio has been, to this point, a hobby or passion at best for most. Even Yahoo's Launchcast didn't voluntarily pay royalties. And now, by passing a dozen laws to reap money from immature ventures, RIAA has effectively added at least 5 years to the time it will take internet radio to evolve a replicable, profitable business model.