diff --git a/src/pipecat/transports/services/daily.py b/src/pipecat/transports/services/daily.py
index d8fff4020..86f6cd8b5 100644
--- a/src/pipecat/transports/services/daily.py
+++ b/src/pipecat/transports/services/daily.py
@@ -8,11 +8,12 @@ import asyncio
 import time
 from concurrent.futures import ThreadPoolExecutor
 from dataclasses import dataclass
-from typing import Any, Awaitable, Callable, Mapping, Optional
+from typing import Any, Awaitable, Callable, Dict, Mapping, Optional
 
 import aiohttp
 from daily import (
     AudioData,
+    CustomAudioSource,
     VideoFrame,
     VirtualCameraDevice,
     VirtualMicrophoneDevice,
@@ -314,6 +315,7 @@ class DailyTransportClient(EventHandler):
         self._camera: Optional[VirtualCameraDevice] = None
         self._mic: Optional[VirtualMicrophoneDevice] = None
         self._speaker: Optional[VirtualSpeakerDevice] = None
+        self._audio_sources: Dict[str, CustomAudioSource] = {}
 
     def _camera_name(self):
         return f"camera-{self}"
@@ -369,21 +371,26 @@ class DailyTransportClient(EventHandler):
             await asyncio.sleep(0.01)
             return None
 
-    async def write_raw_audio_frames(self, frames: bytes, destination: Optional[str] = None):
-        if not self._mic:
-            return None
+    async def register_audio_destination(self, destination: str):
+        self._audio_sources[destination] = await self.add_custom_audio_track(destination)
+        self._client.update_publishing({"customAudio": {destination: True}})
 
+    async def write_raw_audio_frames(self, frames: bytes, destination: Optional[str] = None):
         future = self._get_event_loop().create_future()
-        self._mic.write_frames(frames, completion=completion_callback(future))
+        if not destination and self._mic:
+            self._mic.write_frames(frames, completion=completion_callback(future))
+        elif destination:
+            source = self._audio_sources[destination]
+            source.write_frames(frames, completion=completion_callback(future))
+        else:
+            future.set_result(None)
         await future
 
     async def write_raw_video_frame(
         self, frame: OutputImageRawFrame, destination: Optional[str] = None
     ):
-        if not self._camera:
-            return None
-
-        self._camera.write_frame(frame.image)
+        if not destination and self._camera:
+            self._camera.write_frame(frame.image)
 
     async def setup(self, frame: StartFrame):
         self._in_sample_rate = self._params.audio_in_sample_rate or frame.audio_in_sample_rate
@@ -690,6 +697,20 @@ class DailyTransportClient(EventHandler):
             color_format=color_format,
         )
 
+    async def add_custom_audio_track(self, track_name: str) -> CustomAudioSource:
+        future = self._get_event_loop().create_future()
+
+        audio_source = CustomAudioSource(self._out_sample_rate, 1)
+        self._client.add_custom_audio_track(
+            track_name=track_name,
+            audio_source=audio_source,
+            completion=completion_callback(future),
+        )
+
+        await future
+
+        return audio_source
+
     async def update_transcription(self, participants=None, instance_id=None):
         future = self._get_event_loop().create_future()
         self._client.update_transcription(
@@ -706,6 +727,14 @@ class DailyTransportClient(EventHandler):
         )
         await future
 
+    async def update_publishing(self, publishing_settings: Mapping[str, Any]):
+        future = self._get_event_loop().create_future()
+        self._client.update_publishing(
+            publishing_settings=publishing_settings,
+            completion=completion_callback(future),
+        )
+        await future
+
     async def update_remote_participants(self, remote_participants: Mapping[str, Any] = None):
         future = self._get_event_loop().create_future()
         self._client.update_remote_participants(
@@ -871,6 +900,9 @@ class DailyInputTransport(BaseInputTransport):
             self._audio_in_task = self.create_task(self._audio_in_task_handler())
 
     async def start(self, frame: StartFrame):
+        # Setup client.
+        await self._client.setup(frame)
+
         # Parent start.
         await super().start(frame)
 
@@ -879,8 +911,6 @@ class DailyInputTransport(BaseInputTransport):
 
         self._initialized = True
 
-        # Setup client.
-        await self._client.setup(frame)
         # Join the room.
         await self._client.join()
         if self._params.audio_in_stream_on_start:
@@ -1045,6 +1075,9 @@ class DailyOutputTransport(BaseOutputTransport):
         self._initialized = False
 
     async def start(self, frame: StartFrame):
+        # Setup client.
+        await self._client.setup(frame)
+
         # Parent start.
         await super().start(frame)
 
@@ -1053,8 +1086,6 @@ class DailyOutputTransport(BaseOutputTransport):
 
         self._initialized = True
 
-        # Setup client.
-        await self._client.setup(frame)
         # Join the room.
         await self._client.join()
 
@@ -1078,13 +1109,19 @@ class DailyOutputTransport(BaseOutputTransport):
     async def send_message(self, frame: TransportMessageFrame | TransportMessageUrgentFrame):
         await self._client.send_message(frame)
 
+    async def register_video_destination(self, destination: str):
+        logger.warning(f"{self} registering video destinations is not supported yet")
+
+    async def register_audio_destination(self, destination: str):
+        await self._client.register_audio_destination(destination)
+
     async def write_raw_audio_frames(self, frames: bytes, destination: Optional[str] = None):
-        await self._client.write_raw_audio_frames(frames)
+        await self._client.write_raw_audio_frames(frames, destination)
 
     async def write_raw_video_frame(
         self, frame: OutputImageRawFrame, destination: Optional[str] = None
     ):
-        await self._client.write_raw_video_frame(frame)
+        await self._client.write_raw_video_frame(frame, destination)
 
 
 class DailyTransport(BaseTransport):
@@ -1272,6 +1309,9 @@ class DailyTransport(BaseTransport):
                 participant_id, framerate, video_source, color_format
             )
 
+    async def update_publishing(self, publishing_settings: Mapping[str, Any]):
+        await self._client.update_publishing(publishing_settings=publishing_settings)
+
     async def update_subscriptions(self, participant_settings=None, profile_settings=None):
         await self._client.update_subscriptions(
             participant_settings=participant_settings, profile_settings=profile_settings