Even under Big Sur, the Mac Mini M1's implementation of HiDPI mode on connected AV's and projectors is fraught with difficulty. Beyond the usual HDCP problems, the Mac Mini M1's simply have a tough time enabling HiDPI mode even if you get it to output a scaled 4K resolution. You end up with a tiny user interface when what you really want is 3840 × 2160, but with scaled up user interface (HiDPI mode).
Intel Mac Mini's are better able to recognize AVR's and projectors at 4K AND enable HiDPI mode. The M1's require a hackish work-around.
The work around is not intuitive. I read about this solution when doing a web search about HiDPI and the Mac Mini M1. Hours of trying different cables had been fruitless. A similar problem happens with WQHD monitors and someone came up with this solution.
Connect a 4K monitor AND the AVR to the Mac Mini M1. One on the HDMI port. The other on a thunderbolt port. Set display preferences to MIRROR the two with the resolution set to be best for the 4K monitor on both the 4K monitor and AVR display MACOS display "arrangement" panes.
The Mac Mini M1 will magically recognize the 4K monitor and do HiDPI mode at 4K 60 Hz for the 4K monitor. Because mirroring is on, the output to AVR (or projector) will also be 4K HiDPI mode. Finally, you get full 4K with HiDPI out an M1 Mac Mini your theater system.
Instead of a 4K monitor one can also use a 4K 60 Hz dummy HDMI plug. These are sold for bit mining and headless servers to enable graphics card acceleration. Get one that emulates a display at 4K 60 Hz 3840 × 2160 resolution. Plug into HDMI of Mac Mini M1. Use TB3 to HDMI cable to connect AVR or projector.
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