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Internet radio is based on the concept of streaming audio.
A radio server sends out a stream of audio signals in the form of MP3 files over the phone lines. Those who want to listen to a specific stream of audio set their web browsers to the URL of the radio station they want to hear. The browser then directs the stream of audio to an MP3 player inside your computer, such as Player365. The computer then plays the incoming stream of audio signals through its sound board and speaker system. Dial-up service is usually provided at voice quality.