Yes, but the taxi companies aren't arguing that their regulations should be relaxed. They are arguing that they should apply to more people -- especially these new services like Uber that are doing well.
Regulation of industry creates government jobs. The governing body will not relinquish its regulatory capacity without a fight. The taxis are more likely to get Uber regulated then they are to get themselves deregulated. Rememebr that the government is itself an interested party. It isn't Uber Vs. Taxis. Its a triangle.