You may be right Chuck, but "pretty sure" someone will overcome the problem doesn't change the fact the problem exists now. There simply isn't enough bandwidth, particularly mobile bandwidth, for internet radio to replace terrestrial radio.
I doubt that anything will replace terrestrial radio in my lifetime, and probably not in yours either. I hope not, since I'm currently in the process of purchasing a small Class A FM. I'm literally putting my money where my mouth is.
On the other hand, I see no problem with the technologies coexisting. We should embrace the Internet.
"Broadcasters" are really just content providers. How their programming gets to the end user is really irrelevant, as long as the ability to receive the "broadcast" is not compromised. The problem with HD is, in many cases, it compromises that process.
As I've said many times, I'm not at all opposed to digital radio, multicasting, itunes tagging, displaying the song playing, or any of the features we'd all like. I just think there is a better way to do these things than what we currently have on the table.