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Uber is a transport services company, the European court of justice (ECJ) has ruled, requiring it to accept stricter regulation and licensing within the EU as a taxi operator.

The decision in Luxembourg, after a challenge brought by taxi drivers in Barcelona, will apply across the whole of the EU, including the UK. It cannot be appealed against.

ECJ notify Uber is a transport company, not a digital agency. Rules will be same as for black cabs

Uber had denied it was a transport company, arguing instead it was a computer services business with operations that should be subject to an EU directive governing e-commerce and prohibiting restrictions on the establishment of such organizations. Source: Guardian

Uber is a transportation company, according to a landmark ruling from Europe’s highest court.

The European Court of Justice (ECJ) ruled Wednesday that the U.S. ride-hailing app is a transportation firm and not a digital company. The verdict is a long-awaited judgment expected to have major implications for how Uber is regulated throughout Europe.

“The service provided by Uber connecting individuals with non-professional drivers is covered by services in the field of transport,” the ECJ said. “Member states can, therefore, regulate the conditions for providing that service,” it added.

Uber has long-considered itself an “information society service” which connects drivers and passengers through inter-mediation via their app. This subtle classification has helped to protect the multi-billion dollar start-up from national regulations and means it has been treated as a digital service operating across borders in the EU‘s single market

Source: CNBC