Via Springwise:
"Splice is an online music publishing community that uses Creative Commons licensing to encourage users to share their creations. Splice gives anyone, anywhere the ability to collaborate on music using web-based tools. Users can upload or record sounds, make songs, and listen to and remix other users' songs.
The primary difference between Splice and everything that came before it, is that the mixing tools are built-in. The main tool is a sequencer combined with a 'sound surfer' that lets users choose from a library of samples, loops and beats that members have uploaded for communal use. Multiple formats are supported - WAV/AIFF, MP3, OGG and FLAC - and uploaded sounds and songs are covered by the Creative Commons Attribution license (meaning that other people can use the creative output, but only if they give the maker credit).
Once a song has been published, other users can add, remix or use bits and pieces."
And of course they have widgets; every track page has an embeddable music player that you can add to your site:
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