> That's true for the "big teams", small teams don't have the resources, they're just "happy to be there".

This isn't really the case anymore. There's a budget cap, and all of the teams are financially sound most of the time. While the poorer teams might bring fewer upgrades in a year, they still bring upgrades all year long, and R&D is a continuous process in every F1 factory these days. Smaller teams also get additional R&D, compute, and testing time compared to the big teams.