Popular WP7 radio app TuneIn Radio, once of iOS, has updated to version 1.2. Improvements include:
Better support for Windows streams (no pause in playback, when locking the screen, should work over Bluetooth now)
Fixed error loading low bitrate (< 32 kbit/s) streams (many radio scanners stream at 16 kbps). Option to disable screen auto-lock for Now playing screen, which is useful when user wants to see now playing information all the time
The app can use location services to find radio stations local to the user, as well as allowing them to select from over 50,000 radio stations round the globe.
Be advised that some UK users have reported trouble installing TuneIn Radio through the Zune software; it does however work fine when installing directly through the phone, though (tested on Samsung Taylor).
via simplemobilereview, thanks Chris for the tip.