I've just read that in order for the time attack mode to work you need the new patch (1.2) for the game, but they've say they found a networking problem with new patch. So we'll have to wait, again.
Edit/ apparantly the 1.2 update is live for EU countries. as JohnTemse just posted.
1. Game List Improvement
'Game Status' is now displayed with the game list in the online lobby making it easier to find a session where you'll be able to join and race promptly.
2. Host Identification
Within the game lobby the host is now clearly identified by a 'host' icon visible to all players and updated during host migration.
3. Boost Exploit
A bug involving the boost system that allowed to player to use boost in an exploitative manner has been resolved.
4. Buddy List Size
This has been updated to support up to 50 friends.
5. Text Cut-off
When playing in standard definition all messages will now display as intended.
6. Improved Stability Online
Online gameplay stability has been improved.
7. Audio issues
All known issues with 5.1 / 7.1 surround have been fixed. Audio issues within the front-end have been resolved.
8. Player Ranking
Players were found to be ranked incorrectly due to a bug. Because of this all online rankings will be reset and the ranking system should now function correctly.
Evolution and Sony apologise for this measure but it will result in a fairer and more stable ranking system for all players.
Races will be forced to start after a fixed countdown which should dramatically reduce the waiting times in lobbies. Hosts may delay this countdown up to three times.
10. Save Data Corruption
When quitting the game using the PS button it was possible to corrupt the save game data. This will no longer occur.
11. Lobby Information
Upcoming track and current lap details will be displayed in lobbies.
12. Vehicle Damage
When restarting a single player race during a death camera the damage wasn't always reset at the start of the next race. This has now been resolved.
13. Missing Audio
Audio effects were missing from the death camera, these have now been reinstated.
14. Name Tags
Added ability to switch the player name tags on / off during online races using a single button press (L1).
Time Attack Mode
Set your best times on every stage with all of the available vehicles and post them for the world to see.
"Ghost" vehicles are recorded automatically during Time Attack laps and can then be raced against in subsequent Time Attack races.
Top times on each track will see player's Ghosts automatically uploaded to the leaderboards for others to download and race against.
Up to 7 ghosts can be active and raced against at any one time, affording users a unique way to improve their performance in each vehicle class, compete against their buddies best performances, and nail their best times.
The player can race against their own recorded ghost, take on the best runs recorded by other players (downloadable from the online leaderboards), or try and beat the expert Ghosts from Evolution Studio's own dev team.
Just did the update and its not letting me play with a system update, I'm on 1.5. Going to try the FROM exploit to see if it works...
Yeah it works with FRoM exploit. Its asked me to download the update again ? So I'm doing that... Its put me in a loop I download the update restart the console use FRoM to boot and it asks me to download the update agian. Delete the update and it wont let me plat online without downloading it.