Uber has been dealt a major blow after the European Court of Justice ruled that it's a transport service not just an app.
It means that it's up to each EU member state to regulate the service.
The ruling also means the company is not covered by the regulations surrounding the freedom to provide services in the internal market.
The case originated after a group of Spanish Taxi Drivers claimed the company was engaging in unfair competition practices.
Explaining their ruling, the court said: "The application provided by Uber is indispensable for both the drivers and the persons who wish to make an urban journey.
"[The Court] also points out that Uber exercises decisive influence over the conditions under which the drivers provide their service."
It describes Uber as an "intermediation service" that is an "integral part" of the overall service.
Uber is already heavily regulated in Dublin, and the app can currently only be used to hire traditional taxis or limos.