Anyone who purchased the 128GB model of the new Apple TV 4K is likely to experience an annoying limitation if they fill the available storage quickly enough.
As Macworld reports, a bug is present in tvOS 16.1 which doesn't allow more than 64GB of storage to be used on the Apple TV 4K. 128GB model owners attempting to use more than 64GB of storage will be presented with the error: "The app can’t be installed because there isn’t enough space. Delete one or more apps or manage your storage in Settings."
If you're hoping for a quick fix for your media streamer, prepare to be disappointed as the latest tvOS 16.2 beta contains the same bug. For now, the only workaround seems to be queuing downloads before you've reached the 64GB false storage limit. This won't trigger the error message even if those queued downloads require up to the real 128GB limit.
Hopefully Apple is already aware of the bug and can implement a fix before tvOS 16.2 exits beta. The final 16.2 release is expected at some point in December, so fingers-crossed Apple TV 4K owners aren't having to put up with this annoying bug over the holiday period.