Peer-to-peer music sharing has always been a dodgy trade, as record company lawsuits have targeted digital music providers and downloaders, alike. Startup Mercora says its IM Radio technology works for both sides—and now it’s also got cash. ¶ Mercora ... received $5 million in Series A funding Monday from Silicon Valley’s Norwest Venture Partners, to finance its Internet radio network. Mercora IM (Individual Modulation) Radio, which uses streaming audio, lets users listen to music from other users’ computers. ¶ Just like any other peer-to-peer file-swapping service, Mercora allows users to search music by artist or song title. But unlike Kazaa or Morpheus, which have been hobbled by the wrath of the Recording Industry Association of America (RIAA) and several legal challenges, Mercora doesn’t allow users to download songs onto their computers. ... Link: Red Herring.