From the FAQ's in Vecko's TWoS thread:
Quote:
- How is time compression set in this expansion?
With TC x128 or higher, TC will drop to x1 every time your watch crew detect something regardless of unit coalition (enemy, neutral or even friendly). TC up to x64 will drop to x1 only if enemy airplane has been detected...This is important gameplay element because player now has to reveal ships affiliation by some other means other than TC drop (ships behavior, markings, type, location, ect). Max TC is limited to x512 for stability reasons, although I can not recommend anything higher than x256 in areas with dense air and sea traffic (Baltic, coastal waters...).
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You really should at least read the first few posts of that thread.
http://www.subsim.com/radioroom/showthread.php?t=210703