The Breakdown | Explaining Southern California's economy
Business & Economy

Time Warner starts 'major' network upgrade in Los Angeles



The upgrades are part of an initiative Time Warner announced earlier this year to improve its network.
The upgrades are part of an initiative Time Warner announced earlier this year to improve its network.
Martin Abegglen/flickr Creative Commons

Listen to

00:42
Download this 0.0MB

And now some news from Time Warner that doesn't involve the Dodgers.

The company announced it's upgrading its network with "major internet speed increases" in Covina, Cypress, Hoover, Crenshaw District, and Jefferson Park. Residential customers in Costa Mesa and West Hollywood have already received upgrades.

Time Warner says customers who subscribe to the Standard Internet plan, which formerly delivered speeds up to 15 Mbps, will now receive up to 50 Mbps, and customers who subscribe to the Ultimate plan, formerly up to 100 Mbps, will receive up to 300 Mbps. (You need a DOCSIS 3.0 modem to take advantage of the upgrade)

The upgrades are part of an initiative Time Warner announced earlier this year to improve its network. The company says all of Los Angeles should be receiving the higher speeds by the end of the year.

By improving its broadband services, Time Warner is trying to fend off competitors like Verizon and even Google, trying to remain competitive in the part of its business that is growing. The company has been losing cable subscribers but gaining Internet ones, as reported by Digital Trends.

While these numbers are somewhat skewed due to the blackout spat between Time Warner and CBS during summer 2013, the overall numbers for 2013 show a massive decline in subscribers. Time Warner lost 532,000 video subscribers in 2012, but that number grew to a 833,000 loss during 2013. While Time Warner is still gaining Internet subscribers, that growth number shrunk from 433,000 in 2012 to 154,000 in 2013.

Time Warner management believes this trend can be quelled by investing heavily in infrastructure, specifically throwing money at increasing Internet speeds as well as video-on-demand speeds.

On the cable side, Time Warner says all of Los Angeles will be able to receive its all-digital lineup by the end of the year, which includes access to nearly 75,000 on-demand titles.