The hits keep coming for Uber.
According to the Associated Press, the European Court of Justice ruled Wednesday that Uber should be regulated like a taxi company rather than a technology service. The decision is significant in that it could set a precedent in how ride-sharing services and other Internet-based companies are viewed by European governments when it comes to regulation.
In a statement, the court said Uber's services are "inherently linked to a transport service" and must be classified as "a service in the field of transport" within EU law.
San Francisco-based Uber-which views itself as an information services provider because it's based on an app-downplayed the decision, arguing that the ruling "will not change things in most EU countries where we already operate under transportation law."
It also said it will "continue the dialogue with cities across Europe" to remain active.
Earlier this year, Uber had its license revoked in London after the city's transportation authority said the company posed risks to public safety. The ruling prompted an apology from CEO Dara Khosrowshahi.
Last month, the Employment Appeal Tribunal (EAT) in London rejected Uber's bid to overturn a previous decision that ruled the company's drivers deserved proper workers' rights, including minimum wage and paid holiday.
While the recent decisions against Uber have been met with praise from taxi driver associations and car rental companies, the cost and convenience of the popular ride-hailing service is likely to keep it in high demand among travelers until barriers are put in place.
After all, research commissioned by New Zealand-based car rental company GO Rentals shows that travelers can save a significant amount of money by choosing Uber over traditional taxis in some major European cities. For example, it costs 116 percent more to take a taxi ($123.49) from the airport to the city center in London than it does to take an Uber ($57.15).
Nonetheless, it's clear Uber has some obstacles to clear and will be eager to ring in the New Year following what's been a scandal-ridden 2017.
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