As long as the interface fits, other capacities can also be used. This Cruscial is a SATA SSD. Dell Latitude certainly comes in different configurations, I don't know the device. If it has SATA, the 4TB will also work. At least technically. With laptops it also depends on heat exchange in the smallest space. I can't answer whether a 4TB produces more waste heat than a 1TB and whether that could become a problem.

The manufacturer is testing different configurations. With changes to the capacity, other specifications could also have been changed. No manufacturer wants to take responsibility for such possible changes.
I am not aware of any changes in the specifications of the SATA standard.

I don't see any problem, theoretically you could install a 4TB SSD. BUT: We have not designed the hardware, a small residual risk remains, e.g. that the installed controller chipset can only address 1000G or 1TB. (for whatever reason)

As far as I know, it does not matter how large the memory of the ssd is. Many manufacturers recommend how much each person needs for the product to run optimally.