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Turns out you got the right model; the latest version, with USB-C doesn't work with older AppleTV. Likely due to the pairing which is now done with NFC.
According to Apple, the USB-C Siri remote is compatible with:

Apple TV 4K (3rd generation)
Apple TV 4K (2nd generation)
Apple TV 4K (1st generation)
Apple TV HD
 
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Turns out you got the right model; the latest version, with USB-C doesn't work with older AppleTV. Likely due to the pairing which is now done with NFC.
This isn't accurate.

When my ATV4K3 was delivered, the first thing I did was swap the first gen Siri Remote from my ATV4K1 with the ATV3K Siri Remote.

Now, the USB-C Siri Remote is paired with the older ATV4K1.
 
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This isn't accurate.

When my ATV4K3 was delivered, the first thing I did was swap the first gen Siri Remote from my ATV4K1 with the ATV3K Siri Remote.

Now, the USB-C Siri Remote is paired with the older ATV4K1.
Thanks for replying. Well, the NFC part is just a guess. Still, I can't pair the USB-C remote (2022) with my 2nd en 4k box, from 2021. Keeps displaying 'bring remote closer'. Latest fw, checked 'paired remotes' (or whatever in settings, don't know from he top of my head) tried the < with volume pairing...it just won't pair. Yup, fully charged.

Oh well, I'll just use the Lighting remote, no biggie. But I do read a lot of people with dropped connection:
 
Thanks for replying. Well, the NFC part is just a guess. Still, I can't pair the USB-C remote (2022) with my 2nd en 4k box, from 2021. Keeps displaying 'bring remote closer'. Latest fw, checked 'paired remotes' (or whatever in settings, don't know from he top of my head) tried the < with volume pairing...it just won't pair. Yup, fully charged.

Oh well, I'll just use the Lighting remote, no biggie. But I do read a lot of people with dropped connection:
It seems like Apple hasn't really improved the pairing process on tvOS, but I have some tips for you.

Assuming that the USB-C remote is not paired to any Apple TV at the moment, unplug and plug in the Apple TV that you want to have paired with it. Do not touch the remote that's currently paired with that Apple TV. As soon as that Apple TV boots, press and hold the Menu (back) button and Volume up button at the same time, while holding the Remote less than a foot from the ATV box. Do this about 10 seconds. See if there is a prompt on the screen to finish the pairing process, or it may pair without a prompt.

If you are unable to pair the Apple TV remote, there could be a problem with the tvOS software or the firmware. For example, my Apple TV 4 (HD) doesn't behave the way it is supposed to, I always suspect that there is some bugs that lingered from past updates.
 
It seems like Apple hasn't really improved the pairing process on tvOS, but I have some tips for you.

Assuming that the USB-C remote is not paired to any Apple TV at the moment, unplug and plug in the Apple TV that you want to have paired with it. Do not touch the remote that's currently paired with that Apple TV. As soon as that Apple TV boots, press and hold the Menu (back) button and Volume up button at the same time, while holding the Remote less than a foot from the ATV box. Do this about 10 seconds. See if there is a prompt on the screen to finish the pairing process, or it may pair without a prompt.

If you are unable to pair the Apple TV remote, there could be a problem with the tvOS software or the firmware. For example, my Apple TV 4 (HD) doesn't behave the way it is supposed to, I always suspect that there is some bugs that lingered from past updates.
Oooh, definitely going to give this a try. Thank you!
 
It seems like Apple hasn't really improved the pairing process on tvOS, but I have some tips for you.

Assuming that the USB-C remote is not paired to any Apple TV at the moment, unplug and plug in the Apple TV that you want to have paired with it. Do not touch the remote that's currently paired with that Apple TV. As soon as that Apple TV boots, press and hold the Menu (back) button and Volume up button at the same time, while holding the Remote less than a foot from the ATV box. Do this about 10 seconds. See if there is a prompt on the screen to finish the pairing process, or it may pair without a prompt.

If you are unable to pair the Apple TV remote, there could be a problem with the tvOS software or the firmware. For example, my Apple TV 4 (HD) doesn't behave the way it is supposed to, I always suspect that there is some bugs that lingered from past updates.
Welp, I checked that the remote wasn't paired to the other AppleTV: it wasn't. I checked sw versions: both on the latest OS.

Then I did what you write here; that didn't work. I really have no idea why this shouldn't work, since Apple states the new remote (2022 USB-C) should work with the past 4 generations of the AppleTV.

So, I gave up trying and got a USB-C <> USB-A cable for the other person so she can charge her new 2022 remote. And I kept my lighting remote from 2021.

I do thank you for helping me out here. Really strange that the new remote simply wouldn't pair with the 2021 AppleTV.

I have ready 'horror stories' on the remote disconnecting...every time. Thought that applied to the 2021 model, and I have no issues there. For those who have, read this here: https://forums.macrumors.com/threads/new-apple-tv-4k-remote-keeps-losing-connection.2297218/
 
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