After discontinuing publication of its print edition in late June 2012, publisher Jeramy Gordon was quoted by the Santa Barbara Independent as saying the paper would continue as a "web only" news outlet and that the company was "currently in a state of re-organization".

[2] As a free five-day-a-week publication the Daily Sound was distributed through newspaper racks and in stores, coffee shops, restaurants, schools and major workplaces.

In late June and early July 2007, Santa Barbara County Public Defender Karen Atkins issues three subpoenas to Daily Sound employees,[4] including Editor and Publisher Jeramy Gordon, demanding they turn over all photographs in the paper's possession depicting a March 14, 2007 gang melee that left a 15-year-old dead and 14-year-old charged with his murder.

The Daily Sound refused to hand over the photos citing the First Amendment and California's Shield Law,[5] but eventually gave in amid growing legal costs and possible fines that would likely shut down the paper.

January 5, 2007: Daily Sound hires veteran newspaper advertising sales executive John Leonard as the paper's new general manager.

April 29, 2008: Daily Sound launches a paid home delivery service available to every household in Southern Santa Barbara County, increases circulation to 10,000 papers per day.