Actually, we can do even better(, although these may be relatively "small" adjustments) ... Specifically, : by playing with various ways to start a long embedding-free sequence, one can do better than improve upon the one shown below sequence constructed by Friedman (displayed below), but still using his method of coding $n()$- or $F()$-type longest word-sequences via certain subtrees. For example, one can find sequences that demonstrate (in Deedlit's notation)
$N \ = \ F_{\omega}^3 \ F_\omega F_\omega F_\omega F_{\omega+1} \ F_{\omega}^2 F_\omega F_\omega \ F(4)$
with $F_\alpha$ being a fast-growing hierarchy that begins with $F_0 = F$(, rather than beginning as usual with $F_0(x) = x+1$)x+1$. (Friedman showed that $F$ eventually dominates every $f_{\lt \omega^\omega}$ in the usual fast-growing hierarchy.)
Rather than "is not a subtree of", that should be "is not homeomorphically embedded inembeddable into", which is a very much more stringent requirement. (There might not even exist a longest such sequence in the less-stringent case. A similar situation occurs for Friedman's $n()$ function -- in that case, the relation and $F()$ functions concerning word-sequences: these use "is not a subsequence of" is more stringent rather than the less-stringent "is not a substring of" -- of", there being no longest sequence word-sequence in the latter case.) With this correction, and by starting with $T_2$, the length of the resulting sequence will of course be TREE(3) - 1.
BTW, a
A convenient representation way of TREE(3) uses representing these trees is to use nested bracket expressions (well-formed in the usual way with pairs of matching brackets) involving only three bracket-types -- say (),[],{}),[],{} -- each rooted tree being uniquely represented by a nest of such brackets (up to isomorphism with respect to sibling order). A lower bound on TREE(3) is then the length of a longest sequence $(T_1,T_2,T_3,T_4,…,T_n)$ (X_1,X_2,…,X_n)$ of nests such that each $T_k$ X_k$ has at most $k$ bracket pairs and for no $i \lt j$ X_i$ is $T_i$ embedded in a later $T_j$. Here X_j$, where $X$ is embedded in $Y$ means that $X$ can be obtained from $Y$ by erasing zero or more pairs of matching bracket-pairsbrackets. (Note thatThus, if $X$ is not embedded in $Y$, then the tree represented by $X$ is not inf-and-label-preserving embeddable into the tree represented by $Y$; the converse, because however, does not hold.)
Because $T_1$ X_1$ must be some single bracket pair bracket-pair which cannot then appear in any later nest in an embedding-free sequence, an equivalent definition is obtained by assuming it may be assumed that $T_1=\ X_1=\ ${}, so TREE(3) is one greater than the length of a longest embedding-free sequence $(T_2,T_3,T_4,…,T_n)$ (starting with index 2) of all later nests formed as before but using only the two bracket types bracket-types (),[]. )
Another thing to Also, note is that TREE(3) assumes rooted concerns trees with unordered siblings, so, for example, the nests ([]()) and (()[]) are not regarded as distinct. (Some authors have treated wqo's for rooted trees with ordered siblings, with corresponding "longest sequence" results.results.)

