By 1967 Asheton was jamming with his brother Scott and friend Dave Alexander. They were soon joined by James "Iggy" Osterberg who remembered Asheton from the Chosen Few. The "Psychedelic Stooges" played their first show Halloween 1967. In 1968 they were signed to Elektra Records along with MC5 by Danny Fields. He played guitar on and wrote most of the music for their first two albums, debut album "The Stooges" (1969) and "Fun House" (1970). Shortly after recording "Fun House", a second guitarist was added to the band, initially former roadie Billy Cheetham, who was shortly thereafter replaced by James Williamson. Infighting between Asheton and Williamson, whom he saw as usurping his role as songwriter and lead guitarist, as well as the toll of extensive drug use, caused the band to break up in 1971.