Hi,
Sorry about the trouble. I just tried the jam station and it sounded fine on my machine. Audio distortion isn't a common server problem. No audio would be a server problem, distortion is probably local to your machine.
You should check your flash version, see if it needs an upgrade. Go here to check it :
http://www.whatismyflash.com/
Mine says Installed Flash Player: 11.7.700.179
If your flash is up to date, then I'd suggest checking your sound card settings.
Let us know how it goes?
Jon