Beats Electronics Gets $60M, Spins Out Daisy Streaming Music Service

Santa Monica-based Beats Audio, the headphone and audio equipment maker, has raised $60M in a funding round, to spin out its streaming music service 'Daisy', the firm said late Tuesday. The new funding was led by Len Blavatnik's Access Industries, Marc Rowan, James Packer, and affiliates of Lee M. Bass. Blavatnik is the billionaire owner of Warner Music Group.

Beats Audio recently hired on former Topspin CEO Ian Rogers to head up the new sreaming music service; the company had been talking about setting up 'Daisy' as a new, separate company for a number of months.

Beats' new online music subscription service is based on the infrastructure and technology it gained when it acquired streaming music service MOG in July of 2012; Beats paid a mere $14M for MOG. The new move into online music subscription services places 'Daisy' head to head against such music streaming services as Pandora, Spotify, Rdio, and Rhapsody.

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