Apple finally brought 128 GB of storage to the Apple TV 4K with the 2022 model. While the most expensive Apple TV 4K also supports Ethernet and Thread networking, tvOS 16 currently prevents it from accessing more than 64 GB of storage. The current tvOS 16.2 beta does not address this bug, either.https://www.notebookcheck.net/Apple-TV-4K-New-128-GB-model-cannot-access-more-than-64-GB-of-storage-on-tvOS-16.668855.0.html
This issue has already been patched.