The Nexus Q has had a tough life so far – that goes without saying. Things just got a little worse for the handful of us that use (and enjoy) the Q though – Google has seemingly sliced streaming support from the latest Play Music update, further reducing the impact of the Q's admittedly very limited use case.
Some users have actually reported problems with Q streaming dating all the way back to mid-March, and Google today responded to a thread on its Product Forums with the following:
Hi everyone,
Thanks for taking the time to report this issue. As you noticed, the latest version of Google Play Music isn't compatible with the Nexus Q.

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PSA: New Play Music App Silently Severs Support For Nexus Q Streaming was written by the awesome team at Android Police.