Manchester United remain keen on the 27-year-old Brazil international, but the transfer has become complicated after medical tests flagged concerns over a knee injury he picked up last season. Ederson underwent part of his medical in the United States before further checks followed once Brazil were eliminated by Norway in the last 16 of the World Cup.
The clubs shook hands on an initial £35m package six weeks ago, worth a further £3.8m if add-ons are triggered, and Ederson had already agreed personal terms on a four-year deal. The switch had been expected to go through in early July, only for Ederson's late call-up to Brazil's World Cup squad to delay the process and complicate the medical.
Sources in Italy have suggested Atalanta are ready to offer Ederson a new five-year contract with the deal now considered off, but United have not ruled out reviving the move, with further tests carried out on the midfielder last week as the club tries to satisfy itself over the extent of the injury, says the Manchester Evening News.
The uncertainty comes at a pivotal moment for United's midfield rebuild. Casemiro's departure earlier in the window left a gap in the middle of the park that the club had hoped Ederson would fill, given his profile as a ball-winning, progressive presence in Atalanta's midfield last season. Any prolonged delay risks pushing United into the market for alternatives before the Brazilian's situation is resolved one way or the other.
Manchester United have not been left short of midfield reinforcements regardless of how the Ederson situation is resolved. The club have already agreed a £50m deal with Chelsea to sign 22-year-old Andrey Santos, and hold a shortlist of alternative targets, including Wolves midfielder Joao Gomes, should the move for the Atalanta man ultimately fall through.
United's stance publicly remains that the transfer has not collapsed outright, even if it will not proceed on the terms originally agreed. Talks over a restructured package, potentially including a reduced upfront fee or amended payment structure tied to Ederson's fitness, are understood to be ongoing behind the scenes.