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Spotify is more oriented around listening to albums, or playlists that you construct. Pandora is more like a radio service that offers you things it thinks you probably like to listen to, based on what you say you like.
Grooveshark is a less interesting interface (IMO), supports album and playlist play like Spotify, but it is thought to be illegal and may not survive legal challenges.
Google, Amazon and Apple all offer ways to stream your own music to your own phone. These support the model where you buy your music first, and you send it to them so they can stream it back to you on demand. I have only tried the Google version. It sucks and remains one of the worst Google products.
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