* Ad panel says Time Warner Cable should drop fiber ads
* Time Warner Cable says disagrees with decision
* Verizon says ads caused customer confusion
NEW YORK, Feb 9 A National Advertising Review
Board panel has urged Time Warner Cable TWC.N to stop making
claims in ads that the cable company's services are provided on
a fiber or fiber optic network.
The NARB panel recommended that Time Warner Cable stop
running the ads following a challenge by Verizon Communications
(VZ.N) which markets its fiber optic service (FiOS) in
competition with Time Warner Cable and other cable companies
like Cablevision Systems Corp CVC.N.
The ads were designed to show Time Warner Cable's Internet
network was "dramatically faster" because of its "advanced
fiber optic network".
Time Warner Cable uses a hybrid of fiber coaxial cable also
known as known as 'fiber to the node'. Verizon's network is
said to be entirely fiber and is called 'fiber to the home'.
The NARB panel said the No. 2 U.S. cable company
"respectfully disagrees" with the group's decision.
The NARB is the appellate unit of the advertising industry
Verizon, which has invested nearly $23 billion in building
its FiOS network in some regions of the United States, said
cable companies were misleading customers.
"It's unfortunate that some companies resort to making
false, misleading statements about competitors. When that
happens, it leaves consumers confused."
Verizon first launched FiOS in 2004 and at the end of 2010
it had 3.5 million video subscribers and 4.1 million Internet
(Reporting by Yinka Adegoke, editing by Dave Zimmerman)