How would you expect the audio to be delivered in a service you accessed via telnet?
I thought the site was just a convenient way to demo it all together by already opening the steam in an audio html tag or something and exposing the console api on the same page.
if you had telnet/rest or any other standardly documented access point, I could schedule stations with a cron script. Have a hardware button with an arduino. The sky is the limit.
The way it is now, it's just a toy. nothing other than a slightly more inconvenience to use than pandora. it doesn't really add anything different. Well i could emulate keystrokes and expose an API myself, but then i could already do that emulating mouseclicks in pandora anyway.