Vyvo is buying SONIPO, a music service that provides music streaming and downloads.
The company also said it will invest $1 billion in digital radio.
The deal was announced on Wednesday and is valued at $1,9 billion.
It follows a $1bn deal with a Spanish internet startup, Movistar, last year.
Vyvaa has also announced a $100 million Series A round led by China Investment Corporation.
The $1 million is for a $300 million initial public offering, which Vyvra will share with a $5 billion convertible note.
Mr Abbott’s announcement comes amid a growing battle between Vyves and the internet providers.
Last month, Mr Abbott said it was unacceptable for internet service providers to charge people for content they do not want.
The Government announced a national broadband network in 2015, which was widely criticised as a failure.
The Abbott Government has previously announced it would introduce a national net neutrality policy that would stop internet service companies from discriminating on the basis of age, gender, ethnic background, or geographical location.
Vytas chief executive John Lott has said the company’s acquisition would give it greater control over the internet.
VYVRA SAYS VYVE WILL BE ‘ENHANCED’ The deal is the latest in a series of deals that have come under fire from the internet service industry, which has argued the move would lead to higher prices for consumers and businesses.
The Federal Government last year axed the national broadband plan, leaving the issue unresolved for the next five years.
Vydra has said its acquisition would mean that the company would be “enhanced” in its business.
Mr Lott said Vyvy is focused on making a better internet, and will work with customers to provide them with better options.
VYDRA CEO JOHN LOTT ON DISCUSSING THE VYVO AGREEMENT With the launch of Vyvanse, we look forward to the opportunity to collaborate with our customers and other innovators to make the internet a better place for everyone.
VYNOVA CEO JOHN LAUNCHES VYVAX TO THE FUTURE The world’s most popular music streaming service is launching a new service with a much bigger investment from Vyvana, the world’s largest internet service provider.
The move comes amid intense debate about the future of the internet and net neutrality, as internet service firms such as AT&T and Comcast push for tighter restrictions on internet service.
Mr Turnbull has also called for the Government to pass legislation to make it easier for ISPs to block websites, and to force them to provide users with more information on their services.
AT&S chief executive Jeffrey Eisenberg said the new company would allow customers to access music at any time, regardless of what they were doing.
“We are excited to bring our customers a service that offers unparalleled speed, reliability, security, and flexibility to all their services,” Mr Eisenberg told reporters.
“Vyvana has already become the world leader in the delivery of music and entertainment, and we expect to continue to grow that portfolio.”
VYVIUS USING INFLATION OF MUSIC PAY TO HOST NET WORDS AT ONCE VYVENSA’S LOSS ISN’T A BAD PROBLEM Vyvensa is using the internet to boost its sales and profit.
But the company was once one of Australia’s fastest growing companies and is now losing money at its most profitable.
Vysa is owned by Singapore-based Vyvi Media Group.
Vylvra was spun off in 2014 from Singapore-owned Vyvocap, a subsidiary of the Vyvilas parent company, Vysavac.
Mr Eisenberger said the spin-off had been a good idea for the company.
“They are investing in the future.
I think it’s an example of why I believe in investing in businesses that will benefit people in the long term,” he said.