The EU executive in 2022 proposed to require platforms to detect and report images and videos of abuse, as well as attempts by predators to contact minors.

Supported by several child protection groups, the plans nicknamed "Chat Control" sparked fierce debate inside the 27-country bloc.

Critics including the EU's own data protection authorities, lawmakers, and countries like Germany -- warned of the "disportionate" threat to privacy.

They were especially alarmed by the envisaged use of technology to scan private chats, including on encrypted apps like Signal and WhatsApp.

Under current rules, platforms detect abusive images on a voluntary basis but the supporting legal framework expires after April 2026.

Some member states, like Denmark, wanted to renew the system but make detection mandatory.

Several attempts to strike a deal between the 27 EU member states however failed "due to complicated discussions on particular privacy and cybersecurity", a European diplomat said.

Denmark, which currently holds the rotating presidency of the European Union, will now propose to remove a measure that would allow authorities to issue orders to require platforms to scan images and link -- and keep the voluntary regime.

"If we continue negotiations based on the previous compromise proposal, there is a serious risk that we will find ourselves for a long period without the tool we have today," Danish Justice Minister Peter Hummelgaard told AFP.

"We cannot afford that," he said, adding that the amended proposal was not "what we need but it's better than a step back".

The amended proposal -- that is still subject to approval by member states -- was a "major leap forward", German activist and former EU lawmaker Patrick Breyer told AFP.

A report by the UK-based Internet Watch Foundation found that 62 percent of the child sexual abuse material identified internationally last year was hosted on servers within the EU.