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Amazing, it really does work.  I'm impressed.  Thanks very much for the notification.
I first had the beta do a backup, which caused it to create a /xiialive/backup folder.  Then I copied my own Favorites XML file - which appears to be fine when examined in a browser - into that folder.  My XML file overwrote the one initially created by the beta.  Next I did a Restore.  Now when I start the beta and click Favorites, the screen has an exclamation point and "You have no favorites."  There's no error message as such; the Restore just didn't work.
The "swishing" type artifact is heard for me at http://audio-ogg.ibiblio.org:8000/wcpe.ogg.m3u.  DroidX phone w/Android 2.2.1 OS (stock).  Haven't listened for longer periods to see if there are other issues.  Not a criticism but just an observation.
Have 2.1.8 now.  Works great. The OGG streaming works but has audible artifacts in the form of a "swish" sound that varies with the audio content volume level.  But anyway can see it's moving along.  Thanks!
I listen to classical music and want to stay with the same one station, i.e., playlist=1. Having to restart after the 5 quick retries is a hassle, if not hazardous, when driving. My news reader uses ascending time intervals, and that may be practical here. I dunno. I do know that 5 fast retries is not enough to cover some percentage of tower hand offs in the car.
To resolve the issue I only had to stop the download process and restart it. Duh. First time buying a Google Market app and was initially concerned about starting a refund process, etc. if I stopped the download. But that's all it took, and I'm all set. Love the app and use it all the time, so thought I'd buy it.

The paid app is separate from the free one, and with the upgrade I lost a dozen manually entered favorites, some of which use Icecast rather than Shoutcast. I had these URLs all in a file on my PC, so I moved the file to my phone and then copy/pasted to your app...however, I see that you have this covered with a backup/restore. Good going. Will do that next time.
I ordered the paid version of XiiaLive almost 24 hours ago and am still getting a continuous "Downloading..." or "Download failed" message. No product so far. I like the software and use the free version all the time, but it looks like my intention to pay for it is not working out so well. Please advise. There's nothing wrong with my Google Checkout account nor the network. The free version works fine on my Froyo equipped Droid X. No problems with anything other than trying to pay for the software.