The benefits of this reduction include decreased bandwidth consumption, faster downloads, minimized network congestion, and improved performance, particularly for users with slower connections. The difference is just a few megabytes, but it's an important one nonetheless. Right now, most computers still running Windows 10 (that aren't purposely avoiding the bigger update) are probably lower-resource ones that are not eligible for Windows 11. As those computers age, then, every saved megabyte will matter.

Other than this, the newest update to Windows 11 only carries a few bug fixes and stability improvements. As previously mentioned, it's an operating system that's about to reach the end of its lifespan, so Microsoft isn't really going to add a lot of new, exciting stuff to it. Microsoft recently rolled out the Copilot sidebar to Windows 10, but there haven't been many other changes since development shifted to Windows 11.

The reduced update size is probably as exciting of an improvement to Windows 10 as we'll get at this point. Make sure to download it and install it now.

Source: Microsoft (1, 2)