I have helped a little with some ongoing research on the subject of client-side-scanning in a European research center. Only some low level stuff, but I possess a solid background in IT security and I can explain a little what the proposition made to the EU is. I am by no means condemning what is proposed here.I myself based on what experts have explained am against the whole idea because of the slippery slope it creates for authoritarian government and how easily it can be abused.
The idea is to use perceptual hashing to create a local or remote database of known abuse material (Basically creating an approximation of already known CP content and hashing it) and then comparing all images accessible to the messaging app against this database by using the same perceptual hashing process on them.
It’s called Client-Side-Scanning because of the fact that it’s simply circumventing the encryption process. Circumvention in this case means that the process happens outside of the communication protocol, either before or after the images, media, etc, are sent. It does not matter that you use end-to-end encryption if the scanning is happening on you data at rest on your device and not in transit. In this sense it wouldn’t directly have an adverse effect on end-to-end encryption.
Some of the most obvious issues with this idea, outside of the blatant privacy violation are:
Client-Side-Scanning is going to be implemented by the messaging app vendor. This means that it’s limited by OS or Browser sandboxing . Therefore it’s definitely limited to what the messaging app has access to. However, I’m not sure what the actual scope would be, meaning if all accessible images are going to be scanned or only the one being transmitted to someone.