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I would like a make some sort of Apple Protocol HTTP Audio Stream that would be available to my local network.

So if I typed in "192.168.0.2" or "192.168.0.2:8080" on Mobile Safari it would recognize it as a webcast.

What software would do this on a Mac?

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VideoLAN can be used for streaming and it supports HTTP. Here is the list of supported streaming features. You may follow some guide.

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