The singer and the music insider - whose real name is Michael Williams - developed a connection while working on her comeback album 'Bangerz' and making her music video, 'We Can't Stop', Contactmusic reported.
A source told National Enquirer magazine that everyone knows they're hooking up, and he is very protective about her.
The rumour comes after Miley and Liam Hemsworth's representatives confirmed they had ended their engagement following months of speculation.
Mike is thought to have been a welcome distraction for Miley during the breakdown of her relationship, with the producer regularly sharing flirty snaps of the 'Wrecking Ball' singer on Instagram.
--ANI (Posted on 19-09-2013)