For three years there has been a bug report around 4K@120Hz being unavailable via HDMI 2.1 on the AMD Linux driver.
As covered back in 2021, the HDMI Forum closing public specification access is hurting open-source support.
AMD Linux engineers have spent months working with their legal team and evaluating all HDMI features to determine if/how they can be exposed in their open-source driver.
AMD had code working internally and then the past few months were waiting on approval from the HDMI Forum...
Sadly, the HDMI Forum has turned down AMD's request for open-source driver support.
AMD Linux engineer Alex Deucher commented on the ticket: "The HDMI Forum has rejected our proposal unfortunately.
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