Apple TV 3rd generation wont allow sign in

I cant sign into my 3rd Gen Apple TV, its says I need my 2 Factor auth, however your own OS for this device wont prompt for it, for reasons passing beyond my understanding. I get the notification on my iPhone and iPad. So clearly it knows its me, I acknowldge that yes I am trying to sign in, tell it to authorize, have the code ready which it never asks for and then it returns asking for a password again.

Did they put out an update to disable the ability to use devices that dont support 2 factor authentication now like in their older systems? Thats all i can think of logically as I can sign into my AppleTV apple and Apple accounts on any other pc or device. So it is isolated to this 3rd gen appletv.

If in fact this was the case and its a deliberate effort to force people to buy new gear then that's one way to push this user to any other vendor going forward.

[Edited by Moderator]