"The supporting cable detached to the height of the last pillar" of the cable auto, and the cabin dropped into the wood below, despite the safety devices, the Lieutenant Colonel of the Carabinieri, Giorgio Santacroce, told the ANSA news agency.
The trip up the mountain from the base at the lake features a cable auto to get up halfway and then a chairlift to reach a small amusement park, Alpyland, further up that has a children's rollercoaster offering 360-degree views of the scenery.
The hospital's director, Giovanni La Valle, told La Repubblica newspaper that the child's situation was being followed "minute by minute".
The cable vehicle collapsed around 300 meters from the summit of the Stresa-Mottarone line in Piedmont, local media said.
It had only recently reopened after the pandemic forced the closure of ski lifts and mountain resorts across Italy.
Infrastructure Minister Enrico Giovannini announced an enquiry into what he called "a dramatic occurrence which we are following most attentively".
The cable auto underwent major maintenance work between 2014 and 2016.
The transport ministry said that after the funicular line's renovation, a full maintenance check was performed in 2017.
The cable vehicle was headed for Mottarone mountain, located at almost 1,500 meters above sea level and offering spectacular views of the Alps.
The cable vehicle plummeted to the ground and then tumbled down the slope.
"Rescuers have uncovered 12 bodies so far".
Mottarone overlooks the picturesque Lake Maggiore.
The mountain features a small amusement park, Alpyland, that has a children's rollercoaster offering 360-degree views of the scenery. It reopened again less than a month ago, on April 24. Biran's Facebook page identifies him as a medical student at the University of Pavia. The ministry said they had arrived in Italy on May 19 to visit their granddaughter and great-grandchildren.
She said the possible crimes that are being investigated are multiple manslaughter, attempted manslaughter and an "attack on public transport". The cable line appeared to have snapped, but the cause hasn't yet been determined.
The Israeli embassy was working to repatriate the bodies to Israel, it said.
Among the other victims were an Italian researcher, Serena Consentino, and her Iranian-born companion, Mohammadreza Shahaisavandi.
Also killed at the scene were Vittorio Zorloni and his wife, Elisabetta Persanini. The child died after several attempts to restart his heart failed and "there was nothing more we could do", said hospital spokesman Pier Paolo Berra.
Another couple, Roberta Pistolato and Angelo Vito Gasparro, were celebrating Gasparro's 45th birthday.