▁fund ed ▁by ▁B ain ▁Capital ▁and ▁Ign ition ▁Part ners , ▁as ▁well ▁as ▁a ▁recent ▁$ 2 0 ▁million ▁invest ment ▁by ▁Warner ▁Music ▁Group ▁Cor p . ▁It ▁was ▁founded ▁by ▁serial ▁entrepr ene ur ▁Bill ▁N gu yen , ▁along ▁with ▁Billy ▁Al var ado , ▁An sel m ▁B air d - Smith , ▁and ▁John ▁C og an ▁III . ▁ ▁Initial ly ▁the ▁business ▁focused ▁on ▁CD ▁trad ing , ▁allowing ▁users ▁to ▁send ▁CD s ▁to ▁other ▁members . ▁ ▁L ala ▁kept ▁track ▁of ▁the ▁tr ades , ▁so ▁that ▁each ▁user ▁could ▁expect ▁to ▁get ▁as ▁many ▁CD s ▁from ▁others ▁as ▁they ▁had ▁sent ▁out ▁themselves . ▁ ▁The ▁site ▁launched ▁in ▁an ▁inv ite - only ▁beta ▁phase ▁on ▁March ▁ 6 , ▁ 2 0 0 6 . ▁ ▁It ▁officially ▁launched ▁in ▁open - beta ▁on ▁June ▁ 8 , ▁ 2 0 0 6 . ▁ ▁By ▁December ▁ 2 0 0 6 , ▁there ▁were ▁around ▁ 3 0 0 , 0 0 0 ▁members ▁registered ▁on ▁L ala ▁and ▁over ▁ 5 0 0 , 0 0 0 ▁CD s ▁trad ed ▁since ▁the ▁company ' s ▁launch . ▁The ▁company ▁had ▁a ▁staff ▁of ▁ 2 3 ▁people . ▁ ▁In ▁ 2 0 0 7 , ▁La ▁La ▁media , ▁Inc . ▁introduced ▁L ala ▁ 2 . 0 , ▁which ▁moved ▁the ▁website ' s ▁focus ▁from ▁trad ing ▁used ▁CD s ▁to