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I just bought a Logitech Squeezebox Boom and I LOVE it.
It streams online radio stations and your Itunes (or some other media players) music over wi-fi. The computer actually has to be on to play the music that's on your computer but most of the time I use it to stream internet radio, including Sirius. It also has a line-in so you can attach your MP3 player.
And the sound is great for such a small device. I highly recommend it. I bought it primarily to use in the bedroom because, although my apartment is small, my main music machine is in the living room. Plus the thing is just so simple to use.
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