As Cox struggles to hold onto its business after the introduction of a new set of rules, it is being forced to shut down more of its internet services.
The internet provider is also losing customers, as it has been forced to lay off staff, while others are switching to cheaper alternatives.
As the company struggles to maintain its market share, it faces a growing number of problems.
Cox said in an update to its quarterly report on Wednesday that it had cut 6,000 jobs since last year, and cut its internet service revenue by 4 per cent to $2.5bn, or $3.2bn in adjusted profit.
The firm said it was also losing more than a third of its business to digital services and apps, as well as to the loss of its video services.
But while the loss in revenue and losses in revenue from digital services may be significant, Cox has struggled to deliver the internet services customers want.
“Cox internet has suffered a loss in internet revenue of $2 billion in the first quarter of 2019,” the company said.
“Our internet services have lost revenue of approximately $4.7 billion for the year to date, which is approximately 20 per cent of our net revenue.”
The loss in net revenue comes as Cox is forced to cut staff, lay off people and lay off the internet.
Cox’s revenue fell 4 per% to $1.8bn, while net income fell 10 per cent, to $11.3bn.
This year Cox said it would cut about 500 staff, or 5 per cent.
The net loss in the quarter came to $4bn.
Cox, the largest internet service provider in the US, said its business had been “relatively stable” since the introduction in late 2017 of new regulations designed to ensure that its customers could access the internet without breaking the law.
But the changes meant that many internet providers were forced to scale back services to cater for the new rules, such as reducing speeds and introducing lower data caps.
“As we move into the new year, we have been in a very challenging environment to deliver broadband to customers,” Cox said.
It said it had “seen a significant increase in customer complaints and concerns” about its internet performance, but also saw the rise in usage of video streaming services, which has helped drive demand for its video service.
“While we have made progress in reducing our reliance on the internet, we are still experiencing significant network congestion and a slowdown in the number of new customers joining our network, which may lead to reduced revenue and revenue growth for Cox,” Cox’s chief executive, Bob Cox, said.
The company said it did not have a specific target for how many of its customers would switch to cheaper internet services, and it was looking at alternatives, such of a switch to a different provider, a change to the way customers subscribe, or the introduction or use of a paid data plan.
“We have made significant progress in addressing customer concerns and are actively exploring options for our future plans to address customer service and service performance,” Cox chief financial officer Chris Anderson said.
He said Cox had been making progress in delivering better service to customers, but it was still in the process of finding a solution.
“The company is confident that we can continue to deliver high quality internet to customers at a reasonable price,” Mr Anderson said in a statement.
Cox has had a hard time getting customers to switch to other internet services because of the rules.
In September, the US Federal Communications Commission (FCC) began requiring internet providers to get approval from their customers before they could offer services that customers could not afford.
The rules apply to all US internet services except mobile phones and satellite television.
Cox also had to make some changes to its billing to comply with the new rule.
The service had been offering an option to pay monthly fees of $25 a month for data and $50 a month if you wanted more than 5GB of data, which was about half the limit in the new regulations.
But it is now offering the same plan for customers who want to pay more.
Cox is also trying to address the problem of people not paying bills in time for the end of the year.
It is now charging customers a service fee of $30 a month to get a bill for their entire month of services, instead of the usual $12 a month.
Cox had said that it was “working hard to meet the needs of our customers and we are making improvements to our billing system to make this process easier for customers to understand and manage”.
But Mr Anderson says that Cox is not in a position to pay the fee until at least February.
Cox says it will be taking a $100m write-down of the value of its equity.
That would include the sale of the company and its other assets.
“This will result in a write-off of the equity held by Cox,” Mr Cox said, but he said the company had “no intention of doing this”.