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That is strange and have no plausible advice to offer - All I can say is to try and perform a system repair but that would factory reset your device
To perform a system repair
Switch off your phone and unplug from Pc (Hold volume up and power for around 10 seconds)
Start PC Companion and select Support zone then Update my phone/tablet then in Blue Repair my phone/tablet and follow the onscreen instructions - When prompted connect your phone still switched off holding volume down or back button - This should start the repair or reformat process
If you are using Windows 8/8.1 or a 64bit operating system then adjust the settings for PC Companion and run in compatibility mode and chose Windows 7 or XP
I'm facing same issue, if screen is off, radio works well, when I turn it on, it mutes...
This isn't happening either with gplay music nor walkman...
I'm running a Z3 6603 with Lollipop 5.0.2 (official firmware 23.1.A.0.690 NCB)
That's disappointing. I was hoping that the Lollipop upgrade (if I ever get it) would cure this issue.
The direct cause should be "OK Google from anyscreen" and this probem is across all Z series.
1. FM Radio mutes itself everytime when phone recording is on, because FM sound occupies the input path, and it assumes you always want to record from microphone.
2. OK Google from anyscreen will turn on recording all the time.
3. When screen off, OK google service stops and FM Radio unmute itself.
4. Also if you open TrackID FM will unmute too, because it needs to record from FM radio, so the muting mechanism is not triggered.
I think this is obviously a serious conflict since FM radio should not be broken by any important builtin function, but unfortunately I don't know how to feedback.
If FM Radio is your higher priority, turn off OK Google from any screen and the problem will gone.